In order to combat increasing consumer power bills, Italy is capping renewable energy subsidies by $3 billion per year, according to Reuters. It’s also raising national renewable energy targets for 2020, expecting green power generation to cover up to 35 percent of total electricity demand by 2020, well above the current 26 percent target.
Production incentives for solar power generation will be slashed by 35 percent, while incentives for non-solar energy sector will be cut by about 10 percent to 15 percent, said Leonardo Senni, head of the energy department at the industry ministry.
Italy has the second biggest solar market in the world, behind Germany, and was the fastest- growing market in 2011, thanks in part to generous incentives.
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