Rome, 9 Nov. (LaPresse) – “The Council of Ministers has approved the new Energy Bills Decree. We have chosen to tackle one of the most difficult issues surrounding high energy prices: the mechanism that drives up the price of electricity due to the cost of gas and places a burden on the household and business budgets.” This was stated by the Prime Minister, Giorgia Meloni. “The decree addresses this issue with three specific measures,” explains the Prime Minister. “Firstly, it sets a cap on the price of gas used to generate electricity. When the price of gas exceeds 58.9 euros per megawatt-hour, the mechanism provided for in the decree is triggered to prevent the price rise from being passed on in full to the price of electricity. Secondly: ensuring that the benefits of energy produced at lower costs are passed on to bills. ARERA will set even stricter rules against those who deliberately withhold generation capacity to drive up prices. Furthermore, we have called for the lower costs of renewables to actually translate into benefits for households and businesses. Because if Italy is producing more and more clean energy, then this must also mean more affordable energy for those who use it. We know that adjusting this mechanism may upset those who have derived very high profits from it. But our duty is to defend the interests of citizens. The third: to protect the savings intended for consumers. In the decree, we set strict limits on the passing on of costs: those required to finance the scheme cannot pass these costs on to bills beyond what is expressly permitted by the legislation. The measure will last eighteen months and provides for a phased withdrawal, to avoid sudden changes when it expires.” “This intervention,” emphasises Meloni, “affects the wholesale price of energy and its effects will take time to materialise. We expect significant benefits, but estimates suggest that businesses which generate some of their own electricity and consume more electricity will see the most substantial savings. These benefits could increase, in terms of gas bills, if we also add to this mechanism the cut of over 850 million euros on system charges provided for in the decree.”
On the utility bills decree, Meloni: “Carefully considered decisions; it is our duty to defend the interests of citizens”
Rome, 9 Nov. (LaPresse) – “The Council of Ministers has approved the new Energy Bills Decree. We have chosen to tackle one of the most difficult issues surrounding high energy prices: the mechanism that drives up the price of electricity due to the cost of gas and places a burden on the household and business budgets.” This was stated by the Prime Minister, Giorgia Meloni. “The decree addresses this issue with three specific measures,” explains the Prime Minister. “Firstly, it sets a cap on the price of gas used to generate electricity. When the price of gas exceeds 58.9 euros per megawatt-hour, the mechanism provided for in the decree is triggered to prevent the price rise from being passed on in full to the price of electricity. Secondly: ensuring that the benefits of energy produced at lower costs are passed on to bills. ARERA will set even stricter rules against those who deliberately withhold generation capacity to drive up prices. Furthermore, we have called for the lower costs of renewables to actually translate into benefits for households and businesses. Because if Italy is producing more and more clean energy, then this must also mean more affordable energy for those who use it. We know that adjusting this mechanism may upset those who have derived very high profits from it. But our duty is to defend the interests of citizens. The third: to protect the savings intended for consumers. In the decree, we set strict limits on the passing on of costs: those required to finance the scheme cannot pass these costs on to bills beyond what is expressly permitted by the legislation. The measure will last eighteen months and provides for a phased withdrawal, to avoid sudden changes when it expires.” “This intervention,” emphasises Meloni, “affects the wholesale price of energy and its effects will take time to materialise. We expect significant benefits, but estimates suggest that businesses which generate some of their own electricity and consume more electricity will see the most substantial savings. These benefits could increase, in terms of gas bills, if we also add to this mechanism the cut of over 850 million euros on system charges provided for in the decree.”