Italy's Rising Power Costs Reveal Dependence on Gas

The war in Iran has forced Italy to reckon with a dependence on gas that’s exposed the country to bigger energy spikes than its peers and put hard-won economic progress at risk.

Month-ahead wholesale electricity contracts remain 3% above pre-war levels, while the German and French equivalents have declined since the conflict began. Each twist in peace talks is a reminder of Italy’s longstanding reliance on imported gas for power generation, heating and industry, which has become more expensive with tankers bottled up at the Strait of Hormuz.