Italian PV industry faces regulatory changes: new trends in agricultural PV projects

Last week, the Italian Council of State handed down two judgements on two appeals filed by two companies in the province of Brindisi. The companies had failed to comply with the province's single-area measure for the construction of photovoltaic systems and had subsequently challenged it in the Puglia district of the Tibet Autonomous Region. The appeals were subsequently accepted.


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Lawyer Andrea Sticchi Damiani said the two judgements outlined the different regulatory frameworks for agricultural PV and conventional PV. Previously used criteria, such as land consumption compared to normal agricultural use, can no longer be objected to. These projects are often built in previously unproductive areas and then become more productive.


This trend is expected to continue in the coming months and will be confirmed by the administrative justice system. The ruling relates to projects from previous authorisation proceedings, which listed three types of agricultural PV: basic non-incentivised agricultural PV, agricultural PV with a higher level of technology (which is eligible for incentives) and more advanced agricultural PV (which is eligible for non-repayable contributions).

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The location of the project in a suitable area is a fundamental factor in the decision-making of the Council of State. Suitable areas contain positive ex ante assessments which cannot be challenged by local authorities. However, the Council of State's statement still plays a key role, but is not an irrevocable requirement for eligibility for agricultural PV plants.


As for Columns Energy and the other agricultural PV projects, their history was that in January 2022, the province of Brindisi had not yet authorised the issuance of the terms of the single regional authorisation for the construction and operation of the plant.Columns Energy challenged the documents before the Autonomous Community of Puglia, requesting their revocation. The judge of first instance accepted the appeal, emphasising the difference between agricultural PV and PV systems. The province of Brindisi subsequently requested a revision of the penalties.Columns Energy stated that 95 per cent of the sites would be affected by agricultural activities and it was expected that agricultural PV projects would continue to have a strong agricultural component.


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The Council of State, in its ruling related to the Columns Energy case, emphasised the priority goal of transitioning to green energy, and the PNRR has allocated $2.6 billion for renewable energy, of which $1.1 billion is for agricultural PV and $1.5 billion for agricultural rooftop PV systems.