Finances green-lit for construction of biomethane pipelines in Italy, to the tune of €264 million

The European Investment Bank (EIB) has approved a loan of up to €264 million for energy firm Snam, a leading Italian gas infrastructure company. This loan is earmarked for the construction of 240 kilometers of new gas pipelines and the integration of biomethane production plants into Italy's gas transmission network.

The project continues to align with the objectives of REPowerEU and the National Recovery and Resilience Plan (NRRP), both aimed at promoting renewable energy sources and reducing dependence on imported fossil fuels.

The pipelines will be used to transport up to 1.13 billion cubic metres (cbm) of biomethane per year, equivalent to 12,000 GWh of energy. This amount of biomethane is a significant contribution towards the NRRP's target of producing 5 billion cbm of biomethane per year by 2030 in Italy.

Snam's construction of these 240km pipelines is not expected to be expanded or contracted at this time. The loan for Snam from the EIB is not specified to extend beyond the €264 million already approved.

Gelsomina Vigliotti, Vice-President of EIB, emphasised that the project will help reduce dependence on imported fossil fuels and promote national and European strategic autonomy. She also highlighted that the project supports the target set under the NRRP, which aims for the production of 5 billion cbm of biomethane per year by 2030 in Italy.

However, no new information about the timeline or progress of the project is currently available. The project's potential benefits and impacts, beyond its contribution to renewable energy production and strategic autonomy, remain to be seen.