The electricity tariffs reform for the residential market in Italy

Even though the role of regulatory policies in the electricity market supporting the diffusion of distributed generation and energy efficiency has been well investigated, the relationship between changes in electricity tariff and the impact on investments in RES and Energy Efficiency Measures (EEM) has been under researched in academic literature so far. The paper is a first attempt to analyze how changes in the electricity tariff for the residential market in Italy may directly affect the investment level in new RES projects and the adoption of EEM. To achieve its goal, the paper offers specific cost comparisons and simulations between two different scenarios, before and after the new tariff system, comparing different consumption patterns and evaluating the impact that the Reform has on investments in RES ad EEM.