Energy production and services

Renewable and similar sources

The Group’s power production plants consist mainly of hydroelectric and photovoltaic plants that use renewable sources and cogeneration thermoelectric plants that produce energy via combined cycles, which are some of the most efficient technologies currently available on the market. Furthermore, cogeneration is connected to the urban district heating network, which, compared to traditional heating systems, allows for reductions in energy consumption and improves environmental performance.

In 2020, Iren Group produced 10,110 GWh of electricity, more than 73% from renewable sources (water, solar, biomass or waste) and high-efficiency cogeneration.

The Group’s three waste-to-energy plants produced 598 GWh of electricity, in line with the previous year, as was the quantity of waste treated; the significant change compared to 2019 is in the production of thermal energy, which, thanks to the connection of the Turin waste-to-energy plant to the district heating network, increased by over 27%.

In order to increase hydroelectric production, which in 2020 amounted to approximately 1,295 GWh, projects continue for the reactivation of the Noasca (TO) and Giffoni (SA) plants and the installation of the San Mauro (TO) weir generator unit.

Producing energy from hydroelectric, photovoltaic and co-generation plants reduces environmental impact.

As for the development of district heating, the following projects set forth in the Business Plan were continued in 2020:

Project Project description Progress in 2020
Saturation of the Turin network extension of the connections that will bring the Turin area to a volume of 64 million cubic metres and saturation of the district heating system’s capacity, without the construction of new production sites approximately 1.1 million cubic metres of volume connected and 5.6 km of network laid, reaching 8.7 million cubic metres
Torino Nord extension phase 1 approximately 5 million cubic metres of new district heating volumes to saturate the residual capacity of the district heating system by optimising the storage systems connected 170,000 cubic metres (progressive value reached 1.4 million) and laid 4.4 km of network
Torino San Salvario extension of the district heating volumes (about 3.5 million cubic metres) and construction of a new storage system entirely concealed by a system of green surfaces and trees (Giardino del Calore) connected about 90,000 cubic metres of new volumes and laid about 4.6 km of network
Turin waste-to-energy plant for district heating connection of the Turin waste-to-energy plant with the district heating networks of Beinasco and Grugliasco to increase the volume served without the construction of new plants the plant went into operation with 30 thousand cubic metres of volume in Beinasco; 800 m of network were laid in Grugliasco
Piacenza waste-to-energy plant for district heating the district heating network’s connection with the Piacenza waste-to-energy plant increases the volume of district heating by about 1 million cubic metres connected about 140,000 cubic metres and laid 500 m of network

 

Efficiency and energy savings

The efficient use and saving of energy resources are among the main objectives of the medium and long-term Business Plan of Iren Group, pursued across all business units with increasing efficiency in processes and services, through solutions to guarantee stakeholders a reduction in energy consumption and the use of technological systems, monitoring and guidance of correct behaviour.

The total energy savings generated by the Group in 2020 stood at 742,885 TOE, with contributions from various areas of operation.

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Obiettivi @2025

 

Total energy savings in 2020 (KTOE)

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grafico

 

(1) As well as the energy savings projects described on pages 88-89 of the “Sustainability Report”, the savings obtained through the division of the networks into districts, the public water dispensers, the projects to reduce the impacts of employee mobility (IrenGO, Ecoviaggio, smart working and remote working) and the energy efficiency certificates obtained through the implementation of particular projects and, in addition to previous years, the positive impact deriving from the sale of green certified electricity have been included.

Energy savings from production

Energy production and saving (1) (2) u.m. 2020 2019 2018
Production from hydroelectric and photovoltaic plants        
Electricity produced GWh 1,316 1,352 1,528
Energy saved TOE/000 228 235 264
Energy saved GJ 9,555,816 9,822,759 11,068,510
Production from cogeneration plants, boilers and thermoelectric plants        
Electricity produced GWh 8,161 8,392 6,875
Thermal energy produced GWh 2,763 2,853 2,799
Energy saved TOE/000 253 255 220
Energy saved GJ 10,594,244 10,676,558 9,195,890
Production from waste-to-energy plants and landfills        
Electricity produced GWh 626 634 599
Thermal energy produced GWh 181 142 133
Energy saved TOE/000 65 65 62
Energy saved GJ 2,725,300 2,734,936 2,589,899
Biogas plant production        
Electricity produced GWh 6.9 4.02 0.03
Energy saved TOE/000 2.8 1.7 0.9
Energy saved GJ 118,533 70,357 41,002

(1) The data are calculated according to the following criteria:

  • hydroelectric and photovoltaic production: the calculation was based on the assumption that there was zero fuel consumption and compared the consumption recorded by the national electricity grid for the production of the same quantities of electricity;
  • cogeneration, boilers and thermoelectric: the comparison between gross production and actual fuel consumption of the Group with the consumption that the national electricity grid and the “national average” production system would have recorded to produce the same quantities of electricity and heat;
  • waste-to-energy plants and landfills: amount of electricity and thermal energy production (for the Parma PAI the conversion coefficient for thermal energy into electricity is 6.88, while for the TRM waste-to-energy plant in Turin is 4.5) multiplied by the electricity coefficient (187 TOE/GWh);
  • biogas plants: by multiplying the cubic metres of natural gas produced (60% of biogas) by the sm3/TOE conversion factor 0.836.

In some cases, the energy saved may increase/decrease in a manner that is not directly proportional to the increase/decrease in production, due to an increase of the specific consumptions used for calculations.

(2) Energy saved is also expressed in GJ by using a conversion factor of 1 TOE = 41.86 GJ.

Energy efficiency projects

Iren Group is investing more and more in energy-saving projects and initiatives, both internally, in terms of energy efficiency of production processes, and externally, by offering products and services that allow customers and citizens to reduce their environmental impact. The projects are described in the table below.

Through projects launched in 2020, Iren Group achieved an energy savings of over 15,000 TOE/year.

Energy Communities

In 2020, the Group launched a project to develop Energy Communities and Collective Self-Consumption systems to promote renewable source plants’ diffusion on condominiums, small and medium-sized enterprises, and public administration properties. Through Energy Communities, several users can share the electricity produced by one or more photovoltaic systems, with immediate benefits in economic and environmental terms.

External impacts

Smart thermostat

Smart thermostat

The sale of thermostats for energy efficiency that ensure the boiler is only on for the minimum time required to maintain the desired temperature. Energy savings are calculated by estimating average gas consumption per household and applying a 22% reduction in consumption from the use of the smart thermostat

Savings obtained: 370 TOE

 

Condensing boilers

Condensing boilers

Sale of latest generation condensing boilers, offering savings of up to 25% compare to current consumption. By recovering some of the heat from steam and, consequently, using less fuel, the boilers save energy and cause less environmental pollution

Savings obtained: 173 TOE

 

Photovoltaic plants

Photovoltaic plants

Design, construction and installation of turnkey solar panels for customers. The energy produced is clean and sustainable and can be stored in storage systems until needed. Energy savings are calculated estimating the kWh produced by the photovoltaic plants sold

Savings obtained: 128 TOE

 

Fixtures and fittings

Fixtures and fittings

Replacement of fixtures and fittings for customers. The energy saved is calculated by estimating the difference in transmittance between windows and doors replaced with the new high-performance elements

Savings obtained: 11 TOE

 

Heat pumps

Heat pumps

Latest generation heat pumps allow to manage gas better and save up to 40% compared to current consumption

Savings obtained: 13 TOE

 

Heating systems in municipal buildings

Heating systems in municipal buildings

Continuation of redevelopment works (revamping 2 and 3) on heating systems of buildings in the Municipality of Turin

Savings obtained: 784 TOE

 

LED public street lighting

LED public street lighting

Replacement of traditional lamps in the city’s public lighting systems with LED fixtures. The new lamps’ efficiency and reliability guarantee a reduction in energy consumption of more than 50%. The main project concerns the City of Turin; activities were also carried out in the Municipalities of Alba, Asti, Biella, Fidenza, Vercelli and other small municipalities

Savings obtained: 7,096 TOE

 

Thermostatic valves and heat allocators

Thermostatic valves and heat allocators

Installation of about 520 thermostatic valves and allocators in condominium contexts reduces consumption in individual flats. The savings are calculated on the basis of the historical data of the apartment buildings, compared with pre and post-intervention consumption

Savings obtained: 9 TOE

 

Domestic heat management

Domestic heat management

Replacement of 306 traditional and diesel boilers with high-efficiency condensing boilers in apartment buildings. Savings are calculated by comparing the replaced boiler’s rating plate data with that of the high-efficiency boiler, and the Group took measurements before or after installation under the same conditions of use and weather conditions.

Savings obtained: 1,538 TOE

 

Energy upgrading in buildings

Energy upgrading in buildings

Energy requalification interventions in 20 buildings (thermal insulation, insufflation, insulation) and start of numerous worksites that will generate savings from 2021 onwards.

Savings obtained: 27 TOE

 

Internal impacts

Energy efficiency of production plants

Energy efficiency of production plants

Energy efficiency measures at Group plants (e.g. purifiers, transformers, voltage stabilisers), with a savings of 377 TOE, and at the Parma and Piacenza waste-to-energy plants to reduce energy consumption, with a savings of about 2,000 TOE.

Savings obtained: 2,376 TOE

 

Dematerialisation of bills and reminders

Dematerialisation of bills and reminders

The strong push towards the bill dematerialisation, thanks to the progressive shift to digital communication and payment tools, allows a significant reduction in paper use

Savings obtained: 7 TOE

 

UNI EN ISO 50001 Certification

UNI EN ISO 50001 Certification

Energy efficiency interventions planned as part of the ISO 50001 Certification for power plants: in 2020, the savings achieved amount to 2,350 TOE. The value expected when fully operational (from 2021) is 3,000 TOE/year

Savings obtained: 2,350 TOE

 

Smartflower: a new photovoltaic

In 2020, Iren Group installed a new and innovative photovoltaic system in Turin that recalls the idea of a sunflower in its shape and movements. This is the Smartflower, the latest generation system that tracks the sun throughout the day, from east to west, and during the seasons: in summer, it is arranged on an almost horizontal plane and in winter on a nearly vertical plane. This makes it possible to produce 40% more energy than a conventional photovoltaic system with the same characteristics and positioned on a south-facing roof. The system is equipped with monocrystalline photovoltaic cells positioned on its petals for a nominal power of 2.3 kW and an annual energy production of 4,500 kWh.

Energy efficiency certificates (EECS)

Thanks to the high-efficiency cogeneration plant of Torino Nord, 104,640 energy efficiency certificates (EECs) were obtained in 2020 (equivalent to an equal amount of TOE of energy savings). Furthermore, Iren Group has implemented other projects that resulted in 11 EECs in 2020.

The requirement to produce (or purchase on the market) and supply Energy Efficiency Certificates to the GSE (Electricity Services Provider) is the sole responsibility of Ireti (distributor) and is valid for 2020 (with maturity 31 May 2021).

Approximately 28,084 Energy Efficiency Certificates were also purchased at the average price of 259.71 Euro/EEC in order to meet the annulment obligations provided annually for the distributor.

During the year, around 3.23 million CO2 allowances (EUAs) were purchased to meet the obligations provided for in the Emissions Trading Scheme (ETS) legislation related to emissions generated by Iren Group’s plants.

In 2020, Iren Group obtained Energy Efficiency Certificates equivalent to 104,640 TOE.

Energy savings incentives

Green Certificates were replaced by equivalent incentives which, in 2020, Iren Group matured in the amounts indicated in the table below.

Incentives by plant (no.) 2020
Hydroelectric 259,757
- Bardonetto 16,186
- Valsoera, Telessio, Eugio, Ceresole, Rosone 209,172
- Tanagro 13,193
- Canate 21,206
Waste-to-energy plants (TRM) 238,436
TOTAL 498,193

 

Relevant topics

Emissions

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SDG 13

Sustainable use of water resources

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SDG 6
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SDG 14

Circular economy: management, sorted waste collection and reuse of waste

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SDG 12
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SDG 13

Energy efficiency, renewable sources and district heating

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SDG 7
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SDG 12
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SDG 13

Biodiversity

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SDG 14
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SDG 15