Is Italy’s Power Sector Facing a Risorgimento?

Italy Power Review

Nicholas Newman

The Italian power sector faces six main issues:

1. high electricity prices
2. slow pace of market reform
3. insufficient investment in capacity
4. dependence on imports
5. a lack of domestic nuclear power
6. until recently a lack of a comprehensive energy policy   

Part 1 - The Problems Facing Italy's Power Sector Italy has the most expensive electricity prices in Europe!

Italian consumers today, pay amongst the highest electricity prices in Europe reports Italy’s AEEG (Anti-trust Authority for Electricity and Gas). This is due, in part, to the high usage of natural gas and weak competition in the market.  http://www.oxfordprospect.co.uk/Italian-Power-Review.html

EUROPES SHALE GAS REVOLUTION BRINGS GOOD NEWS TO ITS POWER SECTOR

Nicholas Newman http://oxfordprospect.co.uk/Freelance-Journalist.html

Europe’s shale gas revolution is good news for European power station operators, it changes the dynamics of the energy mix, and it provides a new domestic and reliable supply of fuel that is not vulnerable to the whims of Kremlin power politics and Gazprom market manipulations. So it is not surprising Poland’s power sector is eager for the country’s shale gas reserves to be developed as quickly as possible so it does not have to renew its pipeline gas contracts with Gazprom.

The development of shale gas increases price competition within Europe’s energy markets, meaning more competitive fuel prices that should further speed up Europe’s power sector’s ‘dash for gas’.  In addition, it helps aid the power sector in meeting Europe’s 20/20/20 ambitions, though it could affect continent’s dash for renewables.

However, before the shale gas revolution can be realised there are problems that have to be overcome; fortunately, the European Union and its member states are developing a common set of policies, regulations and laws to facilitate a Shale Gas revolution. For Europe’s power sector customers it should bring greater electricity price stability by reducing many of the market distortions that effect the price of gas in Europe. http://www.oxfordprospect.co.uk/Energy-Features.html

The Balkans: In need of a jolt

Problems including war-damaged infrastructure, unrealistic power prices and insufficient investment trouble southeast Europe. Although the EU is helping the region, will it be able to avoid a looming electricity crisis?
Nicholas Newman http://www.oxfordprospect.co.uk/Freelance-Journalist.html

Southeast Europe is struggling to keep the lights on. Since January 2007, the region has experienced a worsening power supply situation that threatens to reverse many of the economic, social and environmental improvements it has achieved since the end of the Yugoslav conflicts of the 1990s.
In January 2009, the region nearly experienced a system-wide blackout because of the gas dispute between Russia and Ukraine. It helped that the demand for power was lower than usual at the time due to the economic slowdown and the winter holidays, but even when the situation is less difficult, problems can occur.

Damage and disruption

Even without the damage and disruption caused by the Yugoslav conflicts of the 1990s, the region’s power sector would have been in need of substantial new investment and reform. Up to the end of the 1990s, energy decision-makers appeared to have little concern for the economical production and use of electricity. http://www.powerengineeringint.com/articles/print/volume-18/issue-5/features/the-balkans-in-need-of-a-jolt.html

Japan's natural disaster will boost demand for LNG imports.

The Japanese Tohoku-Chihou-Taiheiyo-Oki earthquake and tidal wave that overwhelmed the North East coast of Japan, hit the Japanese power sector hard. It has resulted in substantial damage to the country’s electricity generation and distribution networks, which has resulted in cities throughout the country experiencing rolling blackouts.

The natural disaster knocked out the 5000 MW nuclear power station at Fukashima. Experience suggests it will take several years to bring back online this atomic power plant that was nearing the end of its operating life. http://www.oxfordprospect.co.uk/Japan's-natural-disaster-will-boost-demand-for-LNG-Imports.html

World Energy Market Prospects 2011

A quick look at various aspects that make up the global power generation sector, including wind, solar, nuclear, hydro and coal power station prospects.

Despite the popularity of renewable technology, development of conventional power plants continues to grow a pace.

This year is likely to see the end of the feather bedding of renewables in many countries, due to budgetary constraints in numerous countries. Given these new market conditions both investors and operators are being faced with harder often politically unpopular choices to make in their investment strategies. This article gives an overview of the picture facing investors in various parts of the world. http://www.oxfordprospect.co.uk/World-Energy-Market-Prospects.html