Solar Farm

WFW representing 50 PV companies lodging a complaint before the European Commission against Article 26 of Law Decree 91/2014

22 July 2014

EN | IT |

Watson, Farley & Williams (“WFW”), a leading international law firm, is pleased to announce that it is representing a group of over 50 Italian and foreign companies active in the solar energy sector before the European Commission, following the approval of Art. 26 of Law Decree 91/2014 by the Italian government. The complaint denounces the Italian government’s breach of European Directive 2009/28/EC, as well as other laws and principles of the European Union.

According to the challenged provision, which has retroactive effect, all recipients of feed-in tariffs for the sale of energy generated by photovoltaic (solar) plants with a capacity of over 200 kW are required to choose between an eight percent reduction in the value of the feed-in tariff, or the dilution of the incentive period from 20 to 24 years.

The WFW team is led by Milan corporate partner Eugenio Tranchino, supported by project & structured finance partner Cristina Martorana and Rome corporate senior associate Luca Sfrecola.

Eugenio Tranchino, partner and WFW Head of Italy, said: “Article 26 contravenes the EU legal framework concerning the reduction of greenhouse gas emissions and promoting the use of renewable energy sources, and constitutes unlawful conduct on behalf of the Italian State. In light of the EU law on the feed-in tariff system for energy production from photovoltaic plants, the Italian government is also in breach of Directive 2009/28/EC, the principle of legitimate expectations and several other EU laws and principles.

“The complainants are companies which have gained extensive experience in the solar sector through investments in Italy and abroad, by building photovoltaic plants with a nominal capacity of several hundred MWs. Hence, an urgent intervention by the European Commission seems particularly appropriate to ensure that the Italian government reconsiders the method applied to pass Article 26, which affects the stability of investments in renewable energy. More generally, it affects the trust of companies and citizens in the fundamental principle of legal certainty,” he added.