Energy-intensive customers, state support for companies exposed to the risk of carbon relocation

Prepared by Energy Team

On 23 December 2021, it was published in the Official Italian Gazette no. 304 the Decree of 12 November 2021 (the “Decree”) of the Ministry of Ecological Transition (“MiTE”) defining the criteria, conditions and procedures for using the Fund’s resources for energy transition in the industrial sector established at the Ministry of Economic Development in relation to the aid measure granted to companies in sectors and subsectors deemed to be exposed to a concrete risk of carbon leakage due to the significant indirect costs actually supported in relation to the costs of greenhouse gas emissions transferred to electricity prices.

The aid measure shall be a direct financial contribution and is compatible with the internal market.

Scope of application of State aid

Companies, regardless of their legal form, that are validly constituted at the time the application is submitted, and only if they operate in one of the listed sectors or subsectors listed in the relevant legislation, are eligible for state aid for the costs of indirect CO2 emissions, whether or not they are included in the emissions trading scheme (ETS).

Applications’ submission

The terms and procedures for applying for the benefit will be defined by MiTE provision.

As of today, MiTE has not yet defined the procedures for application, updates will follow when MiTE provides the relevant guidelines on the matter.

Let’s Talk

For a deeper discussion, please contact:

Tommaso Tomaiuolo

PwC TLS Avvocati e Commercialisti