The Competitiveness Decree comes into force

Law 116/2014 – which transposed the Competitiveness Decree (LD 91/2014) – has been published in the Official Journal. The regulation redefines the incentives granted for renewable energies, allocates 350 million Euro for improving the energy efficiency of schools and universities and establishes a 15% tax credit for investments in new machinery. The law introduces subsidised loans to increase the energy efficiency of public school and university buildings. For analysis, monitoring, audit and diagnosis, the maximum duration of the loan is ten years and the maximum amount cannot exceed 30 thousand Euro per individual building. The amount of each operation, including design and certification, cannot exceed one million Euro if the works only concern installations and 2 million Euro if, in addition to installations, the whole building is upgraded, including the building’s envelope. The regulation establishes redefinition of incentives, which will lead to cutting bills for SMEs. However, in order to be able to implement this provision, it is required to cover the costs by redefinition, even retroactive, of the incentives granted to systems for the production of energy from renewable sources. Assorinnovabili (Italian association of renewable energy producers, industry and services) has written to the European Commission requesting opening of an infringement procedure against the Italian State and has stated it will coordinate the appeals of the thousands of operators, both national and foreign “unfairly penalised by a measure unilaterally and retroactively changing the contracts signed with the ESO” To cover the charges of the electrical system, the law provides for an increase in the fixed rates of fees for energy consumption. According to Cogena (association representing firms operating in the fields of construction and distribution of cogeneration systems and energy services) the regulation represents “a new tax on energy efficiency, in other words, an incentive to inefficiency.” For investments in new capital goods intended for production facilities located in Italy and exceeding 10 thousand Euro, the law introduces a 15% tax credit broken into three annual instalments. Text of the LD - Measures for economic growth Law 116 LD91 LD91 - Annexes

Law 116/2014 – which transposed the Competitiveness Decree (LD 91/2014) – has been published in the Official Journal. 
The regulation redefines the incentives granted for renewable energies, allocates 350 million Euro for improving the energy efficiency of schools and universities and establishes a 15% tax credit for investments in new machinery.

The law introduces subsidised loans to increase the energy efficiency of public school and university buildings. 

For analysis, monitoring, audit and diagnosis, the maximum duration of the loan is ten years and the maximum amount cannot exceed 30 thousand Euro per individual building.

The amount of each operation, including design and certification, cannot exceed one million Euro if the works only concern installations and 2 million Euro if, in addition to installations, the whole building is upgraded, including the building’s envelope.

The regulation establishes redefinition of incentives, which will lead to cutting bills for SMEs. However, in order to be able to implement this provision, it is required to cover the costs by redefinition, even retroactive, of the incentives granted to systems for the production of energy from renewable sources. 

Assorinnovabili (Italian association of renewable energy producers, industry and services) has written to the European Commission requesting opening of an infringement procedure against the Italian State and has stated it will coordinate the appeals of the thousands of operators, both national and foreign “unfairly penalised by a measure unilaterally and retroactively changing the contracts signed with the ESO”

To cover the charges of the electrical system, the law provides for an increase in the fixed rates of fees for energy consumption. According to Cogena (association representing firms operating in the fields of construction and distribution of cogeneration systems and energy services) the regulation represents “a new tax on energy efficiency, in other words, an incentive to inefficiency.” 

For investments in new capital goods intended for production facilities located in Italy and exceeding 10 thousand Euro, the law introduces a 15% tax credit broken into three annual instalments.


Text of the LD - Measures for economic growth


Law 116


LD91


LD91 - Annexes