1. Federazione Nazionale Commercio Macchine Cantiermacchine Cogena Intemac Unicea Unimot www.ascomac.it ASSOCIAZIONE ITALIANA PER LA PROMOZIONE DELLA COGENERAZIONE A REGIONAL CHAPTER OF THE WORLD ALLIANCE FOR DECENTRALIZED ENERGY Mediterranean Italian Cogeneration: Facts and Figures WADE Mediterranean Inaugural Event 20 th of March, 2009 – Rome – Italy Dott. Francesco Vallone

2.  Italy promotes cogeneration by: › Reducing excise duty on natural gas (NG) › Energy Efficient Certificates (EEC) on NG if high efficient combined heat and power › Green Certificates only if Renewable Energy Sources (RES)

3.  Incentives are not determinant in the development of cogeneration unless for RES  For NG, CHP is almost no-incentives-like and therefore structurally embedded in the industry for which it makes sense  For RES, CHP is often speculative yet limited Incentives as % of NPV for typical appl. NG3% RES33%

4. In Italy, 83% of CHP plant is below 20 MWe

7. Combustion Engines below 5 MWe  In 2007,overall units sold were 219, stable compared to 2006, which reported 223 units, for an equivalent power of about 150 MWe  Most of the units were between 200 kWe and 3 MWe

8.  CHP below 1 MWe › Driven mainly by incentives and by RES-based CHP units  CHP between 1 MWe and 20 MWe › Interesting growth opportunities driven positively by technology innovation and negatively by the economic downturn  CHP above 20 MWe › Necessary revamping of the huge power production plants field

9.  Italian Association for the promotion of Cogeneration  Established in 1994, COGENA associates 40 firms with a total turnover of € 500,000,000 and it represents:  Firms specialized in systems and technologies distribution for Renewable and fossil fuel Cogeneration Power Plants  Energy Service Companies (E.S.COs) which build, operate, maintain and finance turnkey plants for the production of energy from renewable sources and from fossil fuel cogeneration, aimed at achieving the maximum energy saving and sharing with the customer the same objective  Energy Managers  Engineering Companies

10.  Simpler & faster regulation for the utility grid-interconnection of CHP units  Approval of norms that introduce bureaucratic simplifications for operation of cogeneration power plants  ESCOs activities development  Cooperation with International Associations: WADE - Cogen Europe  Promotion and organization of seminars  Consultation and support for members and their customers  Collect market data for the development of market intelligence  Preparation of a Cogeneration Manual and Suppliers Database  Participation at the most known exhibitions of the industry  Increase the number of members