Italy's costs to import energy will double to 100 billion euros

CERNOBBIO, Italy -Italy’s internet vitality import prices are set to greater than double this 12 months to just about 100 billion euros ($99.5 billion), the financial system minister mentioned, warning Rome couldn't spend indefinitely to cushion the blow on the financial system.

Italy depends on imports for three-quarters of its energy consumption, growing its vulnerability to Europe’s present vitality disaster.

Addressing the annual Ambrosetti enterprise discussion board on Saturday, Financial system Minister Daniele Franco mentioned Italy’s excessive debt diminished its room for manoeuvre going ahead.

Measures to assist companies and shoppers deal with excessive vitality payments shall be accepted subsequent week, following six assist packages to date value in complete 52 billion euros, Franco mentioned.

“To maintain offsetting, at the very least partially, rising vitality costs via public funds could be very pricey and we may by no means do sufficient,” he mentioned.

Franco mentioned it was key to deal with the functioning of Europe’s vitality market, the place hovering fuel costs amid shrinking Russian exports have pushed energy costs increased.

“What issues is to deliver the worth of fuel and vitality again to sustainable ranges,” Franco mentioned.

Talking on the identical convention on Saturday, French Finance Minister Bruno Le Maire mentioned it was essential to extreme any hyperlinks between the worth of fuel and that of electrical energy, shifting to “a complete decoupling” of fuel and energy costs.

Italy’s internet vitality imports price 43 billion euros in 2021, broadly in step with earlier years barring 2020 which was affected by the COVID-19 virus outbreak, Franco mentioned.

The rise of round 60 billion euros anticipated in 2022 quantities to roughly three share factors of gross home product and can wipe out the web surplus in exchanges with the remainder of the world Italy recorded lately, Franco warned.

“We're transferring overseas a major a part of our buying energy,” he added.

($1 = 1.0049 euros)