Insights > Analysis > ANALYSIS: Italy’s new energy decree risks unleashing higher emissions and distorting power markets

ANALYSIS: Italy’s new energy decree risks unleashing higher emissions and distorting power markets

Published 13:15 on February 23, 2026 / Last updated at 13:50 on February 23, 2026 / and / EMEA (Compliance Markets & Taxes, Europe), Insights (Analysis), Net Zero Transition (Power/Electrification)

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Italy's new push to reimburse gas-fired power producers for their carbon costs would make the plants artificially competitive and lead to more gas-fired generation, while also reducing the incentive to invest in renewables, according to experts.
Italy's new push to reimburse gas-fired power producers for their carbon costs would make the plants artificially competitive and lead to more gas-fired generation, while also reducing the incentive to invest in renewables, according to experts.


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