ELECTRICITY GENERATION FROM COGENERATION PLANTS

Update date
Authors

Antonio Caputo

Abstract

In 1997, gross electricity generation was clearly dominated by conventional power stations producing electricity only (158.2 TWh out of a total of 200.2 TWh), with cogeneration accounting for 42 TWh (21 per cent). In 2024, conventional electricity generation stood at 60.2 TWh, whilst cogeneration accounted for 91.2 GWh (60.2 per cent) out of a total of 151.4 TWh.

Description

The indicator measures the electricity output of combined heat and power plants.

Purpose

To assess the contribution of combined heat and power plants to total electricity generation, with a view to improving the efficiency of the energy supply.

Policy relevance and utility for users
It is of national scope or applicable to environmental issues at the regional level but of national significance.
It is able to describe the trend without necessarily providing an evaluation of it.
It is simple and easy to interpret.
It is sensitive to changes occurring in the environment and/or human activities
It provides a representative overview of environmental conditions, environmental pressures, and societal responses.
It provides a basis for international comparisons
Analytical soundness
Be based on international standards and international consensus about its validity;
Be theoretically well founded in technical and scientific terms
Presents reliability and validity of measurement and data collection methods
Temporal comparability
Spatial comparability
Measurability (data)
Adequately documented and of known quality
Updated at regular intervals in accordance with reliable procedures
Readily available or made available at a reasonable cost/benefit ratio
An “adequate” spatial coverage
An “appropriate” temporal coverage
Main regulatory references and objectives

The current regulatory framework stems from Legislative Decree 79/1999 (the Bersani Decree), which reformed the electricity system, initiating market liberalisation and introducing the first forms of protection and incentives for energy produced through combined heat and power and similar processes. Subsequently, Legislative Decree 20/2007 implemented European Directive 2004/8/EC, with the aim of promoting and structuring cogeneration based on useful heat demand. The Ministerial Decree of 4 August 2011 follows in this vein, having defined the support scheme for High-Efficiency Cogeneration (CAR) by introducing the mechanism of Energy Efficiency Certificates (TEE/White Certificates). Finally, Legislative Decree 28/2011 and Legislative Decree 199/2021 (RED II) have set out the framework for the promotion of energy from renewable sources, encouraging the integration of cogeneration fuelled by biomass and biogas and the development of efficient district heating networks.

DPSIR
Response
Indicator type
Descriptive (A)
References

TERNA S. p. A., Dati statistici sull’energia elettrica in Italia, anni vari

Data source

Terna - Rete Elettrica Nazionale S. p. A.

Data collection frequency
Annuale
Data availabilty

TERNA S. p. A., Produzione e utilizzo di calore da impianti di cogenerazione elettrica Pubblicazioni Statistiche - Terna spa

Spatial coverage

National

Time coverage

1997-2024

Processing methodology

The data is collected and processed by TERNA S.p.A.

Update frequency
Annuale
Data quality

The data, which is reliable and accurate, is collected by Terna Rete Italia spa through a census of owners/operators of combined heat and power plants, with data collected online and processed in accordance with Eurostat methodology. The data is available at national level only.

Status
Good
Trend
Positive
State assessment/description

In 2024, total thermoelectric generation (gross and net) reached an all-time low for the series under consideration, at 151.4 TWh and 145.8 TWh respectively. Generation from combined heat and power (CHP) plants stood at 91.2 TWh, accounting for 60.2 per cent of the gross total, whilst generation from electricity-only plants fell to 60.2 TWh. Cogeneration accounted for 87.9 TWh, equivalent to 60.3 per cent of total net thermal generation, whilst non-cogeneration output stood at 57.9 TWh (Tables 1 and 2).

Trend assessment/description

The period between 1997 and 2007, characterised by expansion and restructuring, was marked by the strong growth of combined cycle power generation and industrial cogeneration, a trend that culminated in 2007 when total gross generation reached an all-time high of 264.7 TWh, with cogeneration accounting for 107.7 TWh. In the following decade, from 2008 to 2017, the sector entered a phase of maturity in which gross cogeneration reached its all-time high in 2010 at 111.5 TWh, equivalent to 108.3 TWh net. In the years immediately following, however, the decline in consumption and the massive expansion of renewable sources, such as solar and wind power, significantly reduced the scope for conventional non-cogeneration generation. Finally, between 2018 and 2024 – a period characterised by efficiency measures and the scaling back of thermal generation – against a backdrop of a gradual decline in total thermal electricity output, the percentage share of cogeneration continued to grow steadily as a proportion of the total, consolidating at over 60 per cent in 2024 (Figure 1). Among cogeneration technologies, internal combustion (CIC) stood out in particular, rising to 20,345 GWh gross, as did combined cycle cogeneration (CCC), which, whilst showing a downward trend, continues to represent the main component of the sector with 58.6 TWh gross.

Comments

Whilst the decline in non-cogeneration volumes reflects the positive integration of renewable sources into the national electricity mix, the resilience of cogeneration demonstrates the irreplaceable value of integrating electricity and heat in industrial and domestic sectors. The future challenge for cogeneration lies in the gradual transition to decarbonised energy carriers, so as to preserve grid flexibility and industrial heat supply whilst progressing towards climate neutrality.

Data
Data
Headline

Table 1: Gross electricity generation from combined heat and power plants.

Data source

Terna

Headline

Table 2: Net electricity generation from combined heat and power plants.

Data source

Terna

Thumbnail
Headline

Figure 1: Electricity generation from non-cogeneration and generation plants.

Data source

Terna