The €1.5 billion Italian scheme, approved by the European Commission, will fund manufacturing projects for net-zero technologies, including solar PV components
The Commission found the scheme necessary and proportionate to boost EU cleantech capacity while limiting competition distortions
Support will come as grants, subsidized loans, or both, and is open to companies nationwide, reinforcing Italy’s industrial transition goals
The European Commission has green-flagged Italy’s €1.5 billion State Aid Scheme to support strategic investments in clean technology manufacturing. The aid may be granted until December 31, 2030.
Through this scheme, Italy plans to grant aid to manufacturing investment projects for net-zero technologies and their components as listed in the Clean Industrial Deal State Aid Framework (CISAF) under which this scheme has been approved.
CISAF covers solar PV systems and their specific components, including PV grade polysilicon, ingots, wafers, cells, solar glass, modules, inverters, trackers, and mounting structures.
The Commission found the scheme necessary, appropriate, and proportionate to accelerate the transition to a net-zero economy, and in line with the conditions set out in the CISAF. It expects the aid to incentivize production of clean technologies in the country.
“This scheme will help add capacity for cleantech manufacturing in Italy by supporting key investments,” said European Commission’s Executive Vice-President for Clean, Just and Competitive Transition, Teresa Ribera. “The Italian government’s aid combined with funds from the RRF help us reach the goals of the Clean Industrial Deal, while keeping any potential competition distortions to a minimum.”
Aid will be in the form of grants, subsidized loans, or a combination of both, and will be open to companies across Italy. The scheme will be co-financed from the Recovery and Resilience Fund (RRF).
In 2024, the EU had cleared Italy’s request to use the proceeds from RRF to fund local clean technology production (see European Commission Clears Italy’s €1.1 Billion Scheme).
