The Italian Council of Ministers has approved a new decree introducing updated measures for the Transizione 5.0 tax credit and new criteria for identifying suitable areas for large-scale wind and solar projects.
Under the revised framework, the government has moved forward the application deadline for the Transizione 5.0 tax credit to November 27, replacing the previous cutoff of December 31. Applicants who submitted requests after November 7 will be allowed to provide any additional payments requested by the Italian energy agency, Gestore dei Servizi Energetici (GSE), by December 6.
The decree also clarifies that the Transizione 5.0 incentive cannot be combined with the existing Transizione 4.0 tax credit. Companies that have applied for both will be required to choose one of the two schemes. In addition, the government has earmarked €250 million for 2025 to support applications submitted under the Transizione 5.0 plan.
On renewable energy siting, the decree significantly strengthens the state’s role in defining binding criteria for the approval of wind and photovoltaic projects. Previously, regional governments held broad autonomy in the decision-making process, with regions such as Sardinia even imposing temporary moratoria on new renewable developments.
Under the new regulations, projects located in designated suitable areas will still undergo a landscape assessment, but the assessment will be mandatory yet non-binding. The decree also shortens the timelines for the Autorizzazione Unica (AU), the single authorization process for renewable projects.
The decree further introduces an updated definition of agrivoltaic systems, now described as photovoltaic installations that ensure the continued use of the land for crop cultivation and livestock grazing. Previously, the classification relied heavily on the height of the PV panels.
“To ensure the continuity of crop and grazing activities, the system may include the rotation of modules positioned high above the ground and the application of digital and precision agriculture tools,” the decree states.
