Terna’s 2025-2034 Development Plan, designed by the company that manages Italy’s transmission network, includes a historic 23 billion euro investment to transform the country’s electrical infrastructure. This amount represents a 10% increase compared to the previous plan and responds to the need to accelerate the integration of renewable energy and international interconnectivity.

“Investing in the modernization and digitalization of networks is key to responding to the growing energy demand and facilitating the energy transition,” highlights Giuseppina Di Foggia, CEO and General Director of Terna. According to the executive, the company is committed to developing a more efficient, resilient, and sustainable power system.

Capacity expansion and emissions reduction

Terna’s plan aligns with the objectives of the 2024 National Integrated Energy and Climate Plan (PNIEC), which projects an increase of 65 GW in installed solar and wind capacity by 2030, reaching 94 GW by 2035.

The investments will enable an increase in energy exchange capacity between market zones to 39 GW, compared to the current 16 GW, representing a 22% increase over the previous plan. Additionally, the plan aims to raise cross-border electricity transmission capacity by approximately 40%, thanks to interconnection projects with neighboring countries.

From an environmental perspective, the measures promoted by Terna will allow for a reduction of CO2 emissions by up to 2,000 kt/year by 2030 and up to 12,100 kt/year by 2040, representing a 2.5% improvement compared to the previous plan.

Strategic projects: interconnection and digitalization

The 2025 Development Plan prioritizes key infrastructures that will optimize the electricity network and facilitate decarbonization. These include:

• Tyrrhenian Link: a 500 kV HVDC submarine cable connecting Sicily, Campania, and Sardinia. Its construction began in January 2025, and it is expected to be operational by 2028.
• Adriatic Link: a connection between Abruzzo and Marche, with 1,000 MW of capacity and 250 km in length, 210 km of which are submarine. Its entry into operation is planned for 2029.
• Colunga-Calenzano: a 380 kV power line that will reinforce the connection between Bologna and Florence, optimizing the transmission of renewable energy.
• Italy-Tunisia (ELMED): this link, financed with 300 million euros, will strengthen the connection with North Africa, consolidating Italy’s role as a Mediterranean energy hub.

“Interconnectivity is a key pillar for the security of the power system and the stability of the energy market,” emphasizes Di Foggia. “Projects like the Italy-Tunisia link and the Tyrrhenian Link optimize the management of renewable resources and strengthen Italy’s role in the European energy ecosystem.”

Responding to the growing demand for connections

The increase in grid connection requests is another challenge addressed in the plan. As of December 2024, Terna recorded 348 GW of connection requests for renewable plants (152 GW solar and 196 GW wind), in addition to 277 GW for storage systems.

Another rapidly expanding sector is data centers, whose energy demand has grown exponentially. In just the past two years, connection requests from these centers have reached 30 GW, a 24-fold increase compared to 2021. Most of these connections are concentrated in northern Italy, especially in Lombardy.

To manage this volume of requests, Terna has implemented a new efficient territorial planning model, based on 76 microzones that optimize the distribution of connections and minimize environmental impact.

Regulatory framework and new market strategies

The development of the grid will be facilitated by new regulations and incentive mechanisms:

• Accelerated approvals: The Regulatory Authority for Energy and the Ministry of the Environment have introduced faster authorization processes, reducing implementation times for key infrastructures by up to three years.
• Capacity Market and MACSE: Terna will strengthen electricity supply security through auctions for acquiring storage capacity. The first auction of the MACSE (Mechanism for the Procurement of Electricity Storage Capacity) will take place on September 30, 2025.

Italy as an energy bridge between Europe and the Mediterranean

Thanks to its strategic location, Italy is consolidating its role as a key electrical hub in Europe and the Mediterranean. The 2025 Development Plan reinforces this position with new international interconnections:

• Sa.Co.I.3: modernization of the link between Sardinia, Corsica, and Tuscany, as part of the REPowerEU European program.
• Double connection with Greece: a new 250 km submarine link with a capacity of 1,000 MW will facilitate energy exchange between the two countries.
• Merchant Lines: Terna has received 11 private interconnection requests, totaling 12 GW of additional capacity.

Terna’s 2025 Development Plan marks a milestone in the modernization of Italy’s power grid, with a record investment of 23 billion euros. Its key objectives include the integration of renewable energy, the expansion of transmission capacity, and the consolidation of Italy as a key player in the European and Mediterranean energy markets.

With strategic projects such as the Tyrrhenian Link, the Italy-Tunisia interconnection, and the Adriatic Link, Terna strengthens its commitment to sustainability, digitalization, and energy security, laying the foundation for a more efficient and resilient power system by 2030 and beyond.