The 21° International Conference and Exhibition of Electricity of Distribution Round Table

1. Ministry of Economic Development Department of Energy GENERAL DIRECTORATE FOR NUCLEAR ENERGY, RENEWABLE ENERGIES AND ENERGY EFFICENCY The 21° International Conference and Exhibition of Electricity of Distribution Round Table Smart grid development programs in different countries Interregional Operational Programme (I.O.P.) “Renewable Energies and Energy Saving” 2007-2013 CAPRA – IT – RT.xy.

2. INTERREGIONAL OPERATIONAL PROGRAMME I.O.P. The Interregional Operational Programme (I.O.P.) "Renewable Energies and Energy Saving“ - EFRD 2007-2013 co-financed by National Resources and the EU Structural Funds,is jointly planned by the Ministry of Economic Development (MiSE), the Ministry of Environment (MATTM), the economy and social Partnership and 4 Italians Regions (‘Convergence’ Objective). • Budget: 1600 M€. • Objective: “Increase the share of energy consumption derived from renewable sources and improve energy efficiency, promoting local development in the Convergence Regions” • Convergence Regions: • Calabria • Campania • Puglia • Sicilia

3. THE INTERREGIONAL OPERATIONAL PROGRAMME STRATEGY The I.O.P. objective is implemented facing up the bottlenecks which hamper the success of policies (i.e. Energy Networks weakness). The I.O.P. strategy has to be distinguished from the financial needs. Programme keystone: • Complete the ordinary policy Incentives Scheme. • Lead financial resources to new generation, consumptionand research models, able to strengthen economic and employment system to promote the general acceptance and convenience for the implementation of interventions.

4. THE ROLE OF MINISTRY OF ECONOMY AND DEVELOPMENT (MiSE) Ministry of Economy Development (MiSE - DGENRE) is responsible for a relevant part of the Programme with particular reference to the following activities:

5. Activity 2.4 - PROJECTS Objectives: Upgrade energy transmissions networks in order to promote the use of the distributed generation from RES and small & micro co-generation. Actions Goals: Remove obstacles deriving from the lack of solid infrastructure; Design actions strictly related to the exploitation of potential renewable sources and to the spread of small & micro co-generation; Be functional to the needs and perspective of industrial system and territory. Target: Public Administrations and managers of energy transmission networks.

6. Activity 2.4 - PROJECTS

7. PROJECT 2.4.1: INNOVATIVE DISTRIBUTION

8. Activity 2.4 - PROJECTS

9. EXPECTEDRESULTS Foster the development of Distributed Generation by anticipating future needs and supporting innovative management of transmission and distribution grid MISE – DGENRE CONTRIBUTION TO I.O.P. STRATEGY 2.4

10. International Smart Grids Action Network - ISGAN • ISGAN launched at the Clean Energy Ministerial meeting on July 2010, with Italy and Korea co-founder. • ISGAN is an Implementing Agreement of the International Energy Agency. • ISGAN provides a framework for high-level government coordination to enable Smart Grid development. • ISGAN implements a high-priority recommendation in the MEF‘s Smart Grid Technology Action Plan. • Facilitate the global Smart Grid implementation period through Peer Review·Standards Cooperation.

11. ISGAN – MAIN PROJECTS 1) Establishing an international inventory of smart grid enabling policies and resulting deployment outcomes. 2) Creating case studies using a common framework to highlight key results from emerging smart grid pilots. 3) Establishing benefit-cost methodologies to support regulators and utilities that are assessing smart grid investment options. 4) Regularly synthesizing insights from the emerging work of ISGAN for consideration by high-level policy makers.

12. Priorities for the Italian System 2010-2012 • Incentives for Smart Grids pilot investments of Distribution companies on MV active distribution networks with RES/storage (Italian Regulator). • Italian breaktrough technological initiatives: • Smart meters and related communication technologies. • Electrical storage management systems. • DMS – Distribution Management Systems. • Identification of suitable transmission grid architectures. • Validate monitoring and control methodologies.

13. MARKET AND REGULATION ISSUES • Current tariff schemes do not provide sufficient incentives to support investments in Smart Grids. • Tariffs should provide incentives for future investments in smart solutions. Example: • Italian Regulator approved an additional 2% WACC on investments related to Smart Grids and Energy Efficiency. • Del. 39/10 to refund DSO’s Smart Grid related investments, such as voltage control and DG dispatching on MV grid. • Clear regulatory and legislative rules should be set for full roll-out and replication of demonstration projects.

14. THANK YOU Department of Energy GENERAL DIRECTORATE for NUCLEAR ENERGY, RENEWABLE ENERGY and ENERGY EFFICIENCY Mr. Marcello Capra Tel. +39 06 47053550 e-mail: marcello.capra@sviluppoeconomico.gov.it Mrs Simonetta Piezzo Responsible for realization of I.O.P. “Renewable energies and energy saving” Tel. +39 06 47052417 e-mail: simonetta.piezzo@sviluppoeconomico.gov.it