Super plan for the electricity grid: over 21 billion in investments between today and 2032

Between € 1.5 and 2 billion per year, totalling more than 21 billion to modernise the national electricity transmission grid in the next ten years, which will «have a decisive enabling effect on the energy transition and the achievement of the targets adopted by Europe and Italy». These words were spoken by Terna CEO Stefano Donnarumma, as he presented the 2023 Development Plan during a press conference with Chairwoman Valentina Bosetti, an event also attended by Gilberto Pichetto Fratin, Minister of the Environment and Energy Security, and Stefano Besseghini, Chairman of ARERA, the Italian Regulatory Authority for Energy, Networks and Environment.

The plan traces a clear line between the before and after, a watershed marked by the highest ever record of planned investments. The works across Italy are many and varied: from enhancement to the construction of new lines, from North to South, to cross-border interconnections and connections between the islands for an electricity grid that is increasingly more secure, resilient and sustainable. «Renewable sources are our oil: enabling their distribution and integration is part of our mission as directors of the electricity system and will be a determining factor in ensuring Italy's energy security», added Donnarumma, who sees the EU Fit for 55 Plan and the targets to be achieved by 2030 brought to the fore. «Sun and wind are our oil wells», continued Donnarumma and, if developed properly, «we will successfully depend less on other sources».

On the topic of renewables, Minister Pichetto Fratin noted that «we must place our country in the conditions to challenge the future, leading Italy to reverse the production ratio between clean energies and fossil fuels, with two-thirds renewables and one-third fossil fuels by 2030». Specifically, Terna’s new Development Plan includes over 30 infrastructure projects, placing high priority on the works considered to be strategic for the entire national electricity system and maintaining the works included in the previous Plan. The main developments, however, concern the innovative Hypergrid project, which envisages € 11 billion for five new electricity backbones to increase, and double, the exchange capacity from South to North.

In this scenario, the timeline for the authorisation and implementation of the works in the context of the rapidly evolving energy generation and demand scenarios will be crucial. For this reason, Terna will adopt a modular approach that will make it possible to create future grid infrastructure based on the effective energy scenario that is constantly evolving. For the same reason, the new Hypergrid works will be «immediately» designed and launched in the authorisation procedure, before being carried out based on system priorities. It is important «to have a long-term outlook and short-term capacity for implementation. There is an electricity system where the strategic role of vision is fundamental», noted Besseghini.

A plan aimed increasingly more at sustainability: by 2040, thanks to the works planned by Terna, a total reduction in up to nearly 12,000 kt/year of CO₂ emissions is envisaged.

2023 Development Plan. The main goal of our Development Plan, published every two years starting this year, is to increase the meshing and reliability of the grid, to strengthen the backbones between the South (where the production of electricity from renewable sources is greater) and the North (where demand for electricity is more sustained), to enhance connections between the islands and the mainland, to develop infrastructures on the two largest islands, and to improve the resilience, efficiency, sustainability and integration of renewables. The investments are worth € 21 billion, but, considering the entire lifespan on the projects of this Plan, beyond its ten-year horizon, total investments will amount to more than € 30 billion.

Hypergrid, 11 billion for 5 new electricity backbones. Hypergrid is the key new development of the 2023 Plan. The project, formed of undersea and overhead connections in high-voltage direct current, or HVDC, is focused on five backbones that will pass through most regions in Italy and make it possible to double the exchange capacity from South to North, including the islands, increasing the current 16 GW to over 30 GW. From the perspective of environmental sustainability, the development of direct current backbones will also minimise land use and the impact on the landscape. «Terna is one of the largest networks in the world», noted Minister Pichetto Fratin. «The challenge is to be one of the most efficient, modern and secure, with high capacity».