SNAM RETE GAS INFRASTRUTTURE V

The investment programme consists of 21 distinct gas transmission projects located in northern and southern Italy. Many of them serve the purpose of increasing gas transmission capacity in the north of Italy for reverse cross-border gas flows to neighbouring countries (classified as projects of common interest or PCIs). Others aim at the modernisation and replacement of existing equipment and at removing bottlenecks in transmission capacity in some areas of the country.

The project will contribute to improving security, safety and reliability of gas supply and to diversifying supply routes, enabling further EU market integration. Three project components have PCI status (5.11). The major maintenance component is located in the cohesion priority region of Sicily. The project is therefore eligible under Article 309 point (a) projects for developing less-developed regions and point (c) common interest. With regards to the Bank's objectives, the financing of this project will contribute to the security of energy supply and to network modernisation for maintaining quality and reliability. It is also in line with the Bank's energy lending policy to gas networks.

Environmental assessments have been conducted or are under preparation for the major components of the programme. Various assessments were already approved between 2012 and 2014. Permitting for the smaller components is at various stages, with authorisation expected for most of them by end-2015.

The investments seem to fall under EU public procurement legislation. The Bank will review with the promoter the proposed procurement procedures and request that contracts for the implementation of the programme are tendered in accordance with the relevant applicable EU procurement legislation.