Building on our exploration of Carbon Capture and Storage (CCS) policies across the European Union, we now outline the situation in Italy. The implementation of CCS strategies in Italy’s updated National Energy and Climate Plan (NECP) is consistent with the country’s industrial structure, regulatory context and climate policy objectives. In this article, we investigate how Italy is embedding CCS as part of its climate policy, the specific elements, drivers of change, barriers and strategic options available in the undertaking.

We will discuss Europe’s energy future with top industry and policy names at the EnerGreenDeal Conference, on 12 December 2024 at the Egmont Palace, Brussels. The full programme for this event will soon be announced on https://energreendeal.eu/.

CCS technology is fundamental for Italy’s journey toward climate neutrality, especially in hard-to-abate industries such as steel, cement, ceramics, chemicals, and refining. These sectors contribute significantly to Italy’s CO2 emissions, and CCS can offer a practical solution for reducing the ones which cannot be offset through electrification or renewable energy alone. Furthermore, CCS is an essential technology for the decarbonisation of the energy sector. As the country increases its reliance on renewable sources like wind and solar, Carbon Capture and Storage could help the Italian green transition by granting a reliable electricity supply generated by fossil fuels. CCS is also employed in the production of low-carbon hydrogen, particularly “blue hydrogen”. Generated from natural gas, it allows the capture and storage of by-product CO2. This form of hydrogen acts as a bridge towards a broader adoption of “green hydrogen,” which is derived entirely from renewable energy.

The geological conditions look favourable for the implementation of this technology, since the country has many depleted gas fields, especially on the Adriatic coast, which are ideal for CO2 storage due the capability to contain hydrocarbons. Among the key Italian sites which stand out of the crowd, there is the Ravenna Hub, with a storage capacity of 515 Metric tons of CO2, and the Jonio Hub, with 130 Mt. Other onshore capacities have been identified in Ravenna and Sicily, with 69 Mt and 35 Mt of storage potential, respectively. The Ravenna Hub is expected to reach an injection capacity of 4 MtCO2 per year by 2030, potentially expanding to 16 MtCO2 per year by 2050. Saline aquifers also exist in the country but are little recognised and require more in-depth exploration. The combination of depleted fields and saline aquifers provides Italy with a substantial CO2 storage capacity to support long-term decarbonisation goals.

Italy’s CCS strategy extends beyond its borders through collaboration with France and Greece in the Callisto Mediterranean CO2 Network. This initiative aims to create an integrated system for CO2 capture, transport, and storage across southern Europe, maximising synergies and promoting infrastructure with third-party access. Italy is positioned as a central player, both as a receiver of CO2 for storage and as an emitter, seeking storage solutions in neighbouring countries. The Callisto Network is linked to the broader Ravenna CCS project and the Prinos CO2 storage project in Greece. This regional approach ensures a balanced and competitive CCS landscape in the Mediterranean.

A market survey by Eni and Snam in early 2024 identified a potential market for capturing up to 30 MtCO2 per year by 2030, highlighting CCS’s important role in Italy’s industrial strategy. Italy aims to further expand its CCS capabilities, integrating them with other technologies, such as hydrogen production and bioenergy with CCS (BECCS). The government is also exploring Direct Air Carbon Capture and Storage (DACCS), which could contribute to negative emissions by removing CO2 directly from the atmosphere.

Italy’s CCS strategy offers a pathway to reduce emissions in hard-to-abate sectors and supports the transition to a low-carbon economy. With favourable geological conditions, a strong regulatory framework, and regional cooperation initiatives, Italy is well-positioned to lead CCS development in southern Europe. However, success will depend on sustained political commitment, significant investments, and close collaboration with industry and European partners. By addressing challenges and elevating its strengths, Italy can make a substantial contribution to global climate goals, while securing reliable energy supply for the future.

In our next insight, our focus is shifting up north. Sweden, Finland and Denmark are known for their ambitious climate policies and strong environmental commitments, which will make our analysis of their NECPs promising. Our objective will be to identify the synergies and divergences in their national approaches.