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Italy’s Solar Rules May Lead to Investment Cuts, Repubblica Says

Italy’s new solar-power policy may prompt renewable-energy companies to reduce investments in the country, la Repubblica reported, citing an interview with Piero Manzoni, chief executive officer of Falck Renewables SpA.

The new rules, which include subsidy cuts for future projects, introduce a number of bureaucratic obstacles penalizing the industry, Repubblica cited Manzoni as saying. The legislation, which will take effect Aug. 27, may push Falck and other companies to invest elsewhere, he said, according to the Rome-based newspaper.

Annual subsidies for photovoltaic energy in Italy surpassed 6 billion euros ($7.3 billion), the industry’s regulator GSE SpA said in a July 12 statement. The new measures are designed to rein in a boom in installations that’s made Italy the world’s second-biggest solar market after Germany in less than two years, the government said earlier this month.

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