Terna: an agreement has been signed with energy companies for the new electrical interconnection between Italy and Austria

The €80 million power line, 28 km long between Glorenza and Nauders will be completely underground

TERNA: AN AGREEMENT HAS BEEN SIGNED WITH ENERGY COMPANIES FOR THE NEW ELECTRICAL INTERCONNECTION BETWEEN ITALY AND AUSTRIA

Resia Interconnector, the company that owned the 150 MW capacity, was sold to the Interconnector Energy Italia and Toscana Energia consortia, and to Vdp Fonderia

Rome, 16 September 2021 - Terna, the company that manages the national electricity grid, signed the preparatory agreements with the energy-intensive companies for the construction and operation of the private part of the interconnection project, located in Italy, and which will connect Italy and Austria. The infrastructure, the construction of which will require an investment of about €80 million, runs for 28 km between Glorenza (Alto Adige) and Nauders (Austria) and is 'invisible' because it is completely underground and therefore has a reduced impact on the landscape. The infrastructure is considered strategic at an international level: part of the ten-year development plan of the electricity grids of Entso-e (the European association of grid operators), the new interconnection will contribute, in fact, to increase the reliability and safety of the energy exchanges between the two countries with important benefits for the community.

The project, due to enter into operation in 2023, will allow Italy and Austria to increase the electricity exchange capacity by 300 MW, doubling current capacity, helping to integrate renewable resources more and improve efficiency and reliability of the electricity grid, resulting in an increase in the quality and continuity of supply. This is in line with the European strategy to strengthen electricity interconnections between member states to increase the safety of the supply and improve market competition.

Specifically and in compliance with Italian Law 99/2009, the Terna Group completed the sale of the entire capital of Resia Interconnector S.r.l. to Interconnector Energy Italia S.c.p.a., - a consortium bringing together energy-intensive companies (industrial consumers primarily in the steel, paper and chemical sectors) -, to the Consorzio Toscana Energia S.p.A. and to VDP Fonderia S.p.A., by signing the agreements for the construction and operation of the private part of the interconnection, located in Italy, of the AC power line between Italy and Austria.

The company Resia Interconnector S.r.l., controlled entirely by Terna, was founded in 2018 under the mandate of the selected assignees pursuant to the law cited above governing electrical interconnectors and holds for the Italy-Austria power line, pursuant to the special decree issued by the Italian Ministry of Ecological Transition, the exemption right for third-party access (TPA) for a transmission capacity of 150 MW and for a period of 10 years beginning from the date of entry into commercial operation of the interconnection.

For Resia Interconnector S.r.l., the value of this transaction totals €80 million, corresponding to the construction (EPC) mandate due to Terna for the activities necessary to realise the works, which will be operated by Terna for the entire exemption period.