Transitional FERX Decree – New investment opportunities for photovoltaics
The transitional FERX Decree officially came into force on 5 July, ushering in a new phase of development for photovoltaics in Italy, with incentives aimed at the construction of new plants, the complete refurbishment of existing ones and the upgrading of existing plants with new sections. The measure, eagerly awaited by operators and investors, is a strategic tool to accompany the energy transition and provides a stable framework for planning new projects.
An alternative and stable mechanism
The decree introduces an alternative incentive system to net metering and dedicated withdrawal (RID), guaranteeing beneficiaries remuneration recognised by the GSE for a period of 20 years. The “award price”, set by ARERA, starts at €70/MWh for plants up to 1 MW. This is a tariff base that allows for the creation of reliable, long-term business plans, especially in a context of volatile energy markets.
Additional premiums and territorial differentiation
Increases are added to the reference tariff to make it more economically attractive:
- +€10/MWh for plants located in northern regions (including Emilia-Romagna and Liguria), areas characterised by lower solar radiation and therefore historically less competitive;
- +€27/MWh for plants built to replace roofs containing asbestos or eternit, with a double benefit: clean energy generation and environmental enhancement of real estate assets.
In addition, the award price will be subject to partial annual revaluation in line with inflation, ensuring greater protection in terms of revenue.
Access and operating procedures
Plants up to 1 MW have direct access to incentives, without competitive procedures. For capacities above 1 MW, an expression of interest must be submitted to the GSE, which is useful for quota planning. The management of net energy produced, and therefore incentivised, varies depending on the size:
- up to 200 kW, direct withdrawal by the GSE is envisaged, or access to the mechanism provided for plants with a capacity greater than 200 kW;
- above 200 kW, independent sale of energy is envisaged, opening up opportunities on wholesale markets and bilateral contracts (PPAs).
Timelines to monitor
Interested operators must comply with specific deadlines:
- submission of the start of work notification by 31 December 2025, with an accepted connection estimate and the plant registered on Gaudì;
- completion of work within 36 months of commencement.
Opportunities for companies and investors
The transitional FERX Decree offers operators a clear, stable and long-term incentive framework, reducing the regulatory uncertainty that has often hampered the development of renewables in Italy. For companies with suitable land available, particularly industrial, logistics and agricultural roofs, the replacement of harmful materials such as asbestos represents an opportunity to combine asset redevelopment with a significant economic return.