The indicator quantifies the environmental impact of Italian consumption through 16 indicators based on the life cycle (LCA). In the period 2010-2024, the national consumption footprint index recorded a reduction of 8% (dropping from 100 to 92), compared to a 6% increase in the EU-27 average. However, analyzing the trend per inhabitant, Italy's single score, despite having dropped from approximately 0.98 pt to 0.91 pt, remains constantly higher than the European average (which went from 0.82 pt to 0.85 pt), highlighting an environmental pressure per capita that is still high compared to the community context. The objective is to monitor the decoupling between consumption and impacts to fall within planetary limits.

In 2024, the seventh edition of the Catalogue of Environmentally Harmful and Environmentally Beneficial Subsidies identified a total of 191 subsidy measures (compared with 183 in 2022). These included EUR 25.4 billion in Environmentally Harmful Subsidies (EHS), a record EUR 71.8 billion in Environmentally Beneficial Subsidies (EBS), and EUR 26.3 billion in Uncertain Environmental Impact  Subsidies (UEIS). Among environmentally harmful subsidies, those supporting fossil fuels amounted to EUR 19.6 billion in 2024.

The Circular Material Use Rate (CMUR) measures  the share of material resources reused by an economy. In the period 2004-2024 the rate of circular use of Italian materials goes from 5.8% to 21.6%

The indicator on the Environmental Goods and Services Sector (EGSS) measures the economic and employment contribution of production activities dedicated to environmental protection and the sustainable management of natural resources. In recent years, the environmental goods and services sector has experienced strong growth, highlighting the dynamism of Italy's green economy. Between 2016 and 2023, employment in the sector more than doubled, while gross value added (GVA) increased by 122.5%, with particularly strong expansion during the last three years. Between 2021 and 2023, the value added generated by environmental activities grew by 41.7%, substantially outpacing the overall growth of the Italian economy (GDP: +4%). As a result, the contribution of the environmental goods and services sector to the national economy increased from 3.1% of GDP in 2021 to 3.7% in 2023, confirming the growing importance of sustainability-oriented production activities in Italy.

The indicator analyzes the commercial flows of recyclable materials, highlighting a growth trend of 20% in cross-border movements in the period 2004–2024 (from 12.9 to 15.5 million tonnes). The increase in intra-EU imports stands out (+34.5%), essential for the metallurgical and manufacturing sectors, and the strong expansion of extra-EU exports (+83.4%). In 2024, the national system absorbed 12.7 million tonnes of imports, dominated by ferrous metals (5.9 million tonnes), while it contributed to the global supply with 2.8 million tonnes exported, of which approximately half was made up of paper and cardboard. These dynamics reflect the consolidation of Italian circular supply chains, in full coherence with the European objectives of resource efficiency and reduction of the use of virgin raw materials.

In 2022, total expenditure by the Italian economy on environmental protection amounted to €51.4 billion, corresponding to 2.6% of Gross Domestic Product (GDP). This latter value remained broadly stable over the period 2016–2022, indicating continuity in investments devoted to environmental protection. Resources are mainly allocated to waste management and wastewater management, which represent the two most significant expenditure items (46% and 25%, respectively).

Alongside these, with a smaller but still significant share, are expenditures for the protection and remediation of soil, groundwater and surface waters, the protection of biodiversity and landscapes, air and climate protection, as well as noise and vibration abatement activities (excluding workplaces). The picture is completed by expenditure on environmental research and development and other supporting activities, which contribute to the diffusion of innovative and sustainable solutions.

Statistical information on environmental taxes can be broken down by tax category, the units paying the tax, the class of environmental activity, and the destination of the revenue. In Italy, environmental taxes amounted to €60.8 billion in 2024 (+11.6% compared to the previous year). In 2023, revenue from environmental taxes accounted for about 6.1% of total tax and social contribution revenue and about 3% of Gross Domestic Product in 2024.

From 2005 to 2023, in Italy, the circular economy sector showed signs of economic strengthening, with an increase in value added (+0.4 percentage points on GDP) and investments (+0.2 points), but a decrease in relative employment (-0.2 points), highlighting the need for policies that accompany the transition with greater attention to inclusion and the social dimension of circular work.

In 2024, Domestic Material Consumption in Italy stood at 486 million tonnes (-0.7% compared to 2023), while Resource Productivity grew to 3.76 euro/kg (+1.4%), confirming an improvement in the efficiency of the use of natural resources.

Italy has structurally reduced its material footprint, going from 17.9 to 10.3 tonnes per capita between 2008 and 2024, reaching values lower than the EU average. This result reflects significant progress in terms of efficiency and circularity, but it requires consolidating the decoupling between economic growth and resource consumption in order to make the competitive advantage durable.

In 2024 Italy confirms itself among the EU leader countries in terms of eco-innovation, with performances above the European average in resource efficiency, energy productivity, and emissions. Between 2014 and 2024, the Italian index grew by +39.2 percentage points (pp), exceeding the EU average increase (+27.5 pp), with a particularly marked improvement in resource efficiency (+64.4 pp compared to +62 pp EU).

In 2021, in Italy, consumption and investments caused 439.5 Mt of CO2 (carbon footprint), equivalent to about 1.2% of global CO2 emissions, marking a 15% increase compared to the previous year. Of these, about 52 Mt come from the EU (excluding Italy) through imports, and 126 Mt from the rest of the world. Household activities, primarily from transport and heating, which are solely of Italian origin, account for about a quarter of the carbon footprint. The category of final demand that accounts for the largest share of the carbon footprint is final consumption expenditure (28%). About 12% of Italy's carbon footprint originates from the EU (excluding Italy), 7% from China, 4% from Russia, and 17% from the rest of the world.

An economic system operates through energy inputs. The total energy consumption of resident units indicates the amount of energy used by economic activities and households for production and consumption activities, distinguishing energy uses from non-energy uses.

In 2021, the total energy consumption in Italy amounted to 7.05 exajoules, a 17.1% reduction compared to 2008. The total consumption is almost entirely for energy uses. In 2021, over two-thirds of the total energy use is attributable to productive activities. Among these, the top six activities for energy use (slightly more than half of total use) contribute to nearly 7% of Italy's Gross Domestic Product. 31% of the total energy use is due to household consumption (mainly heating/cooling and transport).

ISPRA also estimates the internal energy footprint, which allows the analysis of energy uses from the perspective of final domestic demand, highlighting the direct and indirect energy amounts embedded in the goods and services offered on the domestic market by Italian production chains.