RENEWABLES FOR HEATING AND COOLING

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RENEWABLES FOR HEATING AND COOLING ( renewables-for-heating-and-cooling )

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temperature geothermal applications72 increased from 307 MW in 1995, to 325.8 MW in 2000, 487 MW in 2004, and 606.6 MW in 2005 giving 7.6 PJ of heat (Figure B17). Figure B17 Direct-use, low temperature geothermal heat production in Italy from 1995 till 2005 Heat generated (TJ) 8 000 7 000 6 000 5 000 4 000 3 000 2 000 1 000 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 Source: Lund et al., 2005. Where data was unavailable numbers were extrapolated. The only noteworthy incentive policy for geothermal heat was a tax incentive, offered since 2000. 172 Despite the relatively low incentive for direct-use geothermal heat the market has continued to grow. Conclusions Italy offered an important incentive for solar thermal under its 2002 MATT subsidy programme which primarily due to poor awareness of possible constituents and its small budget has been unsuccessful in allocating the entirety of its resource. As such, the MATT experience provides a relevant example for the importance of well-established information campaigns to accompany carrot-based incentive schemes. National legislation in support of renewable heat has not been strongly developed. Biomass constitutes the majority of Italian renewable heat although legislation to support this technology and supply chain has been poorly developed. Capital incentives have been available for solar thermal since the late 1990s but the market did not show significant growth until the implementation of the White Certificate Scheme in 2005. Most of the geothermal potential in Italy is utilized for electricity production, and not heat. Despite a lack of supportive instruments, the geothermal heat market has continued to grow. 72. The energy utilized from the installed capacity is often far less than the maximum potential and may therefore be misleading.

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