The Italian Competition Authority spotted a vestige of the old monopoly regime in the energy sector
In a recently given opinion the watchful eyes of Italian Competition Authority (ICA) has spotted an arrangement contrary to the spirit of competition in the extension of Enel exclusive research and exploitation rights of geothermal resources in some areas of Tuscany (AGCM, case AS474, Disciplina della Ricerca e della Coltivazione delle Risorse Geotermiche) Under Italian law the general rules governing the research and exploitation of geothermal resources are laid down by the Mining Act of 1927. As geothermal resources belong to the state, the right of carrying out researches into these resources and exploit them are given by state to interested operators by means of a concession. The Act 625/1996, which has implemented Directive 94/22 EC rules that such a concession are awarded through open tendering procedures. However, the Act 896/1986, enacted well before the implementation of EC measures pursuing to the liberalization of the energy sector, shapes quite a generous regime for Enel a...