Commodity market report

Italy power and renewables market long-term outlook H1 2017

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Report summary

As a result of strong incentive driven growth in renewables particularly solar PV in recent years Italy has met and exceeded its original 2020 target for renewables in the power sector. Italy's continuing reliance on gas fired generation has contributed to its power prices being higher than those in neighbouring countries although the market s dependence on imported power is also a major factor in price formation.

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