Case Study #9: Magliano Alpi (Italy)

Author: Zemgale Regional Energy Agency

Keywords: Municipality, rooftop PV, smart grid

Overview

The renewable energy community “Energy City Hall” in Magliano Alpi, North Italy, was founded in 2020 by the local government and joined by several households and SMEs. The municipality installed a 20 kW PV system on the town hall roof, aiming for energy self-sufficiency and cost reduction. Participants, including citizens and SMEs, contribute to PV panel financing. Smart meters and EV charging points enhance efficiency and sustainability of this project.

Community-driven renewable energy initiatives are key to implementing Magliano Alpi’s Sustainable Energy and Climate Action Plan. It is a way to mitigate rising energy costs, build resilience, and take environmental measures. This model serves as a blueprint for other municipalities and underscores the importance of collective action.

Legal form

Energy communities in Italy may be composed of both public bodies and private entities and function as non-profit organizations that are exempt from taxes. The technical regulations for energy communities are defined by ARERA (Autorità di Regolazione per Energia Reti e Ambiente) to ensure that all members are treated fairly. Additionally, GSE (Gestore dei Servizi Energetici) is responsible for the community registry and monitors the system. Public entities, such as the Magliano Alpi Municipality, participate on equal terms with SMEs and citizens. However, if a public entity decides to join, there are legal restrictions in place to ensure compliance with governance requirements. Furthermore, the public sector receives subsidies from the Ministry of Economic Development.

Technological setup

Solar PV technology, including a 20-kW system on the town hall roof, forms the core of the local energy system. There are plans for an additional 30 kW solar PV system installation in the school gym. Smart meters are installed at each delivery point, ensuring efficient distribution. Two EV charging points complement the system. All grid connections of the community members are linked to a single transformer substation. This decentralized setup facilitates localized generation and consumption while maintaining grid stability.

Governance

The roles and responsibilities of membership are established in accordance with Italian law and are administered by the GSE. Legal matters are supervised by a legal professional, and financial matters are managed by the GSE.The municipality of Magliano Alpi manages the project, but a new governing body will be established – a joint team for all eight forthcoming community projects. The municipality is responsible for technical maintenance, with support from the Energy Center of the Polytechnic of Turin. Ongoing efforts are being made to empower the community for self-management.

Business model

The energy community offers a mutually advantageous framework for its investors and members. The primary beneficiaries are the municipality, SMEs and citizens. Cooperation with retailers entails selling excess energy to the grid at market prices and the money received is reinvested. The promotion of sustainability is backed by public funding. Internal management ensures transparency in terms of cost and revenue sharing. It is planned to shift towards direct sales by 2025.

Digital tools

A local energy management system Energy4Com serves for monitoring and controll purposes. Smart meters are installed in each facility and the data exchange with the DSO ensures a smooth billing process. Statistical insights and consumption analytics accessible to community members via an IoT platform support sustainable energy practices and informed decision-making.

Social inclusion

The primary objective of the energy communities in Italy is to mitigate energy poverty for marginalized individuals and provide cost-effective services. Community meetings serve as forums for cooperation and dialogue. Magliano Alpi demonstrates a strong commitment to social inclusivity and empowerment.

Barriers and challenges

Creating the energy community faced some difficulties like not knowing enough about it, not being able to talk to each other easily, not having enough money, and relying too much on certain people. The university helped by sharing their knowledge and skills. The government also made rules for financially supporting Italy’s renewable energy communities.

Collaborating with local technicians and artisans was crucial for enabling more people to learn and get involved. But it was also hard because they had to rely on other parties like municipalities and private companies. The project was created to show how working together, coming up with new ideas, and speaking up for what you believe in can help all use energy in a better way.

References

Ghiani, E., R. Trevisan, G. L. Rosetti, S. Olivero, and L. Barbero. 2022. “Energetic and Economic Performances of the Energy Community of Magliano Alpi after One Year of Piloting.” Energies 15: 7439. https://doi.org/10.3390/en15197439

Magliano Alpi: Una Nuova Comunità Energetica Sotto l’Albero di Natale. Ecquologia. December 22, 2022. Accessed September 27, 2024. https://ecquologia.com/magliano-alpi-una-nuova-comunita-energetica-sotto-lalbero-di-natale/.

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