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III. NATIONAL ACTIVITIES ITALY In the year 2002, Italy signed the Kyoto Protocol to the United Nations Framework Conference on Climate Change, together with all the other countries of the European Union (EU). According to the Protocol, the EU must reduce total greenhouse gases emissions by 8% compared to the 1990 level, within the commitment period (from 2008 to 2012). Inside the EU, each country has a different obligation; for Italy, the reduction has been fixed at 6.5%. According to the decree of the Interdepartmental Committee for Economic Planning (CIPE) of 19 December 2002 (Revision of the Guidelines for the strategy and national measures for greenhouse gases emission reduction), the electricity industry must reduce CO2 emission by 26 million tons per year by the commitment period. This figure represents more than 50% of the total reduction required. One of the selected measures to pursue this target, is a 500-1,200 MWe increase in the installed capacity of renewable based power plants, with a reduction of CO2 emission in the range 1.5-3.1 million tons per year. The ENEL Group, by far the major national utility, is partly owned by the Ministry of Treasury (at present, about 30% of the shares). The new Company strategy is focused on the core business for increasing ENEL Group activities in the energy market (electricity and gas), especially abroad. One of the most important targets is to reduce the cost of the electricity generated, increasing coal and natural gas use (the latter in combined cycle plants) and reducing fuel oil consumption. Another important target is the development of renewable energy sources (geothermal, small-hydro, wind, solar and biomass) both in Italy and abroad. The development program for geothermal generation forecasts the drilling of new wells, construction of new power plants, revamping of old plants and installation of hydrogen sulphide and mercury emission abatement systems, based on a proprietary process (AMIS). The target is a yearly generation of 5.4 billion kWh by 2009 and a substantial environmental improvement of the generation park, with a total investment of about 170 million € for the period 2005-2009. In 2004, ENEL spent 275,000 € to improve efficiency and environmental impacts of the geothermal plants. There was no expenditure by the Italian Government. 12.3 Current Status of Geothermal Energy Use 12.3.1 Electricity Generation As of 31 December 2004, 218 production wells were in operation, feeding many steam line networks for a total length of about 158 km. In addition, 26 reinjection wells were in operation to reinject the condensed steam into the reservoirs. There were 33 power plants in operation, with a total installed capacity of 862 MWe and a maximum electrical capacity of 699 MWe. In 2004, 5.127 billion kWh were delivered to the electric grid. This figure represents 1.9 % of the domestic electricity demand. In 2004, drilling activities consisted of: • Drilling and commercial operation of five new production wells: four deep wells with depths ranging from 3,500 m to 4,900 m (drilling of two of these wells began in 2003). • Completion of the drilling of GPK-4 to 5,260 m, at Soultz, France, in the framework of HDR Project). IEA Geothermal R&T Annual Report 2004.doc 70PDF Image | Geothermal Energy Annual Report 2004
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