Italy plans biomass cuts
Italy plans to cut incentives for renewable energy, including biomass, in a new measure which might prevent it from reaching its 2020 targets.
The decree is due to be finalised by the end of February and will see the amount spent on renewable energy capped at €5-5.5 billion, a reduction from €6-7 billion.
In 2011, the total spend on renewable power generation was €8 billion, which makes energy companies dubious that the government will be able to fund further developments if it goes ahead with these cuts.
Estimates have predicted that renewable energy spends will hit €12 billion within four years although government tariffs to be given to renewable energy producers are expected to be lowered considerably, with different cuts depending on the source of the energy.
The other industries the government plans to make cuts to in renewable energy include water, wind and solar energy.