Terna, Italy’s national grid operator, is set to invest €23 billion over the next decade to modernize the country’s electricity infrastructure. This plan, which represents a 10% increase from previous projections, is central to Italy’s efforts to meet its decarbonization and energy security targets under both national and EU climate commitments.
Unveiled as part of Terna’s 2025-2034 Development Plan, the investment will significantly boost Italy’s capacity to integrate renewable energy sources. Key upgrades to the national grid include the Tyrrhenian Link, Adriatic Link, and several new interconnections, which will help Italy meet its growing demand for clean energy and storage solutions.
Transforming the Grid for a Sustainable Future
The plan’s most ambitious projects include:
- Tyrrhenian Link: A €3.7 billion HVDC submarine cable to connect Sicily, Sardinia, and Campania, enhancing renewable energy integration by 2028.
- Adriatic Link: A 1,000 MW connection between Abruzzo and Marche, slated for 2029.
- Bolano-Annunziata Line: A 380 kV submarine line that will increase energy exchange capacity between Sicily and mainland Italy.
These upgrades are expected to triple Italy’s energy exchange capacity from 16 GW to 39 GW and increase cross-border transfer capacity by 40%. The investment will also reduce annual CO₂ emissions by 2,000 kilotons by 2030, reaching 12,100 kilotons by 2040.
Planning for Future Demands
Terna’s CEO, Giuseppina Di Foggia, emphasized the importance of these investments in ensuring Italy’s grid is prepared for the growing demand for renewable energy connections and storage facilities. “Investing in modernizing and digitizing electricity grids will be essential to cope with the increasing energy demand and renewable integration,” Di Foggia said. She also noted the company’s new Efficient Territorial Planning model, designed to minimize administrative delays and streamline grid expansion.
Regulatory and Market Support
Terna’s plans are supported by recent regulatory changes, including simplifications from the Italian Regulatory Authority for Energy, Networks and Environment (ARERA), aimed at accelerating project approvals. Additionally, tools like Italy’s Capacity Market and the MACSE storage capacity procurement mechanism will further streamline grid upgrades and attract international investment.
This ambitious €23 billion plan positions Terna as a key player in Italy’s transition to a low-carbon economy, ensuring a more resilient and sustainable energy future for the country.
Sources: Terna Press Release
