4. THE ITALIAN SYSTEM | Key elements 1/2 Before Dec. 2007 After Dec. 2007 2005-2009 2005-20 12 Regulatory period: 2.9 Mtoe/y in 2009 3.2 Mtoe/y in 2009 Savings total national target Gas (#21) & Elt (#10) Distributors serving at least 100k customers at the end of 2001 Gas ( #62 ) and Elt( #14 ) Distributors serving at least 50k customers at the year t-2 Obliged parties a) ALL distributors b) Companies controlled by Distributors c) ESPs ans ESCOs a), b), c) + d) industrial & non industrial customers that have to appoint an energy manager Who can be granted WhC Type I(elt),II(gas),III(else) issued by GME (E.M.O.) upon AEEG verification (ex-post, 5 yrs lifetime ) No changes applied Certificates (1WhC, 1 toe)
5. THE ITALIAN SYSTEM | Key elements 2/2 Before Dec. 2007 After Dec. 2007 Spot market + OTC; ( unrestricted banking between 2005-2009 ) Spot market + OTC; (unrestricted banking extended to 2010-2012 ) Trading Financial penalty, but not defined in units (i.e. €/toe); No changes applied Penalty Eligibility: Distributors Responsible: AEEG Level: 100€/toe (can be updated) Ceiling: up to the target No changes applied Cost-recovery a) Deemed savings b) Partial ex-post eng. Methods c) Full monitoring plan (has to be approved by AEEG) No changes applied Monitoring&Verification
6. THE ITALIAN SYSTEM | Targets (Elt Sector) Source: Italian Regulatory Authority for Electricity and Gas (AEEG)
14. RESULTS | WhC Trading in 2008 (SPOT ~ 36%OTC) If we do not consider bilateral contracts between companies belonging to the same industrial group, the percentage rises to 63% (GME, S.Alaimo) Source: GME
15. RESULTS | OTC Trades (April – September 2008) Source: GME (S. Alaimo)
16. POLICY ISSUES AT STAKE | Scarcity from 2010++ ? Source: Elaboration from the consultation paper DCO 32-08 (AEEG)
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20. For more information, please contact: Daniele RUSSOLILLO [email_address] Fondazione per l’Ambiente Via Pomba 23, I-10123, Torino, Italy Tel +39 011 571 47 50 Fax +39 011 571 47 51 www.fondazioneambiente.org Thank you for your kind attention | Contacts