CMS Expert Guide to Agrivoltaics and Floating Photovoltaics in Italy

The Italian regulations on agrivoltaics have been progressively refined to promote the development of plants that meet specific environmental and agricultural requirements. The main legislative references include:

1. Article 65 of Decree Law no. 1/2012, introducing the concept of agrivoltaics, stating that these plants must use “innovative integrative solutions with modules elevated from the ground, allowing for rotation, to ensure agricultural and pastoral activities are not compromised”.
2. Article 20 of Legislative Decree no. 199/2021, which regulates the identification of suitable areas and design criteria, i.e. Territorial Compatibility: avoiding valuable agricultural land and sensitive ecosystems, Agricultural Continuity: prioritising land already used for less intensive crops or marginal surfaces, to ensure the continuity of agricultural or pastoral activities; Landscape Impact Criteria: focusing on areas with environmental and landscape constraints.
3. Ministry of Ecological Transition (MiTE) Guidelines published in June 2022 (the “Guidelines”) provide further details about the technical requirements. The MiTE Guidelines introduce a fundamental distinction between “standard” and “advanced” agrivoltaic plants. While standard plants must meet certain minimum requirements described in the guidelines, “advanced” plants are characterised by the adoption of more innovative and high-performance technological solutions, making them eligible for specific incentive mechanisms. 

Italy stands out as one of the most advanced countries in agrivoltaic technology. In 2023, agrivoltaics experienced remarkable growth, with projects reaching nearly 16 GW. By September 2024, the National Resiliency and Recovery Plan (NRRP) agrivoltaic funding programme attracted significant interest, with over EUR 920 million requested and 643 projects submitted, totalling more than 1.7 GW of planned capacity.

According to some recent market analyses, southern regions like Sicily and Campania have been leading the way, thanks to abundant sunlight and government support, while Lazio and Emilia-Romagna represent key developments in central and northern Italy. These regions have been key players in Italy’s agrivoltaic expansion, benefiting from government incentives and favourable land conditions for integrating solar energy with agriculture. 

One of the main challenges concerns Italian regulations and bureaucracy. Despite its great potential, many projects face issues due to unclear and fragmented regulations, constraints on agricultural land use, access to funding and incentives, social acceptability, and local opposition.

Moreover, the need to ensure compliance with the Guidelines and upcoming technical standards often extends the administrative permitting procedure for agrivoltaic projects.

Agrivoltaics hold immense potential, offering clear benefits for the environment, local communities, and the agricultural sector. Developing these systems would result in more efficient land use and foster technological advancements, boosting local clean energy production and creating economic growth opportunities. However, the challenges largely stem from a complex regulatory framework governing land use for energy production.

Moreover, the lack of a clear legal definition of “agrivoltaic plant” further complicates the process, leading to increased time and risks for project developers. 

Agrivoltaics indeed represent an innovative and promising solution for balancing renewable energy production and for preservation of agricultural land in Italy.

While the legislative framework remains complex, significant progress is being made to foster collaboration between the photovoltaic and agricultural sectors and to consider energy production, crop yields, and biodiversity protection, ensuring a sustainable balance between the two sectors.

Moreover, the incentives currently in place and the growing attention towards this technology from operators confirm the sector’s development potential.

According to a comprehensive analysis, Italy could achieve 22 GW of installed capacity by 2030, representing 58% of the ground-mounted plants planned by the PNIEC. This goal could be met by allocating approximately 40,000 hectares of agricultural land to agrivoltaic technology. 

In its Decree No. 436/2023, the Ministry of the Environment and Energy Security (MASE) set out criteria and methods to incentivise the development of advanced agrivoltaic systems, in line with the investment support measures under the National Recovery and Resilience Plan (PNRR), for a total capacity of at least 1.04 GW and an indicative production of at least 1,300 GWh/year.

To achieve this goal, eligible agrivoltaic systems will benefit from incentives including: i) a capital grant covering up to 40% of qualifying costs; and ii) a feed-in tariff applied to the net electricity generated and fed into the grid.

It is worth noting that the MASE has reopened applications for this incentive scheme as of 1 April 2025 until 30 June 2025, to access a capital grant covering up to 40% of eligible costs.

Following the first competitive procedure, approximately EUR 325 million remains to be allocated. 

Regarding the installation of FPV, the Italian legal framework provides that the relevant projects must typically be subject to different procedures to obtain, depending on the peculiarities of the specific project: (1) a land concession; (2) an environmental impact assessment; and (3) an ad hoc authorisation.

It should be noted that, as at 1 April 2025, floating PV projects of less than 10 MW to be located on bodies of water in public reservoirs/water basins, as well as on irrigation canals, will be subject, in principle, to a streamlined authorisation procedure, the so-called “Simplified Procedure - PAS”, to be carried out by the competent municipality where the project will be developed. 

Regarding incentives, the Italian government recently adopted a decree (the “RES 2 Decree”), which provides for incentives to be granted to newly built floating and offshore PVs. 

Various FPV projects have been implemented in Italy in the last 15 years. The first project of this kind was developed in Bubano (Emilia Romagna Region) in 2010, while another FPV project was recently implemented in Sella Giudicarie (Trentino Alto Adige). Regarding projects whose authorisation procedures are pending, the relevant capacity is typically around 5-10 MW. Some of these projects exceed 30 MW. 

The most significant regulatory hurdle concerns land concession procedures. These involve various regional and local entities that apply inconsistent regulatory regimes. Therefore, concession procedures are subject to serious delays.

Italy has significant potential for FPV projects due to the availability of several waterbodies, including the Mediterranean Sea, as well as hydroelectric plants, over 300 of which exceed 10 MW. These could technically be suitable for the installation of FPV. 

In addition, in 2023, Enel, a major energy producer in Italy,  started the construction of an FPV system to be installed on an existing hydroelectric plant in the Piemonte Region, with 1 MW of capacity and 1,200 MWh of expected annual energy production. 

The Italian government recently adopted the RES 2 Decree, which provides for incentives to be granted to newly built floating and offshore PVs. In particular, the RES 2 Decree aims to incentivise up to (a) 50 MW of FPV on inland waters and (b) 200 MW of offshore FPV/marine energy.

Additionally, another recent decree, the RES X Transitional Decree, aims to incentivise up to 10 GW of newly built PV plants exceeding 1 MW, including FPV.