Description
Natural gas: the liberalisation of the sector and the functional unbundling of activities
Similar to the electricity sector, since the end of the 1990s, in the natural gas sector, including LNG, a process has been underway to abandon monopoly situations in favour of a gradual opening to the market, allowing competition to develop. This process took the form, on the one hand, of organising the gas system chain by functional activities (i.e. that of gas production, transport, distribution, marketing and storage) with the aim of giving responsibility to the individual players operating freely in the chain and, on the other hand, strengthening both the role of the Independent National Regulatory Authority -ARERA- with regard to the regulation of prices and service quality and the role of the public service underlying the individual activities; so much so that public bodies (state, provincial or local) are called upon to deal with the planning, control and supervision of the various functional activities. All this with the aim of enabling the end user to enjoy a guaranteed and secure natural gas supply service.
The gas system is therefore mainly composed of interconnected pipeline networks. The national network is fed by the entry points of the national gas pipeline network, LNG regasification terminals or deep storage or reservoir sites. The transmission network, divided into national and regional pipelines, conveys gas to delivery points for local distribution networks or to points of major consumption, such as energy-intensive activities or thermoelectric power plants. The activity of natural gas distribution is therefore autonomous and independent, in functional and legal terms, from that of transport and sale to end users.
The activity of natural gas distribution
The activity of natural gas distribution is a public service activity. The service is entrusted exclusively by tender for periods not exceeding 12 years. The local authorities, which entrust the service according to a specific service contract, carry out activities of direction, supervision, planning and control on distribution activities. The natural gas distribution companies are obliged to connect the customers, who request it, who are located within the territorial area to which the assignment on the basis of which they operate refers, as long as the capacity of the system at their disposal exists and the works necessary to connect the customer are technically and economically feasible according to criteria established by ARERA, in compliance with the obligations of universality of the public service. Distribution companies are also required to pursue energy saving and the development of renewable sources. The natural gas distribution companies must also suspend the supply of gas to the end customer's installations, at the request of the local authority responsible for inspections in the event that the end customer's installation is found to be non-compliant with the standards or in the event of a refusal to allow the inspections required by Law No. 10/1991.
The current natural gas distributors
To date (updated 19/02/2025) in the 101 municipalities of Trentino, the activity of natural gas distribution, operated through a channelled network and interconnected to the gas transport network (managed by SNAM rete gas S.p.a. and Retragas S.p.a.), has been carried out by a number of operators on the basis of entrustment schemes established by each municipality before the entry into force of Legislative Decree 164/2000, which established the service as a local public service. These entrustments have almost all expired ope legis, but the service, according to the law, continues to be carried out in such a way as to avoid discontinuity in management in favour of the end user.
As a result of various aggregations between operators that have taken place in recent years, as of 1 January 2024 the activity of natural gas distribution is carried out by the following five companies authorised to operate:
- 2I RETE GAS S.p.A. registered office in via Alberico Albricci, 10 -20122 MILAN. It manages the gas distribution service in the municipality of AVIO (TN)
- ALTO GARDA SERVIZI S.p.A. registered office in via Ardaro, 27 - 38066 RIVA DEL GARDA (TN). It manages the gas distribution service in the municipalities of ARCO, DRO, RIVA DEL GARDA, TENNO (TN)
- GIUDICARIE GAS S.p.A. registered office in via Stenico, 11 - 38079 TIONE DI TRENTO (TN). It manages the gas distribution service in the municipalities of: BONDONE, BORGO CHIESE, BORGO LARES, PIEVE DI BONO-PREZZO, SELLA GIUDICARIE, TIONE DI TRENTO and TREVILLE (TN).
- ITALGAS RETI S.p.A., with sole shareholder, registered office in Largo Regio Parco, 11 - 10153 TORINO - Company subject to the management and coordination of Italgas S.p.A. - Company belonging to the "Italgas VAT Group". It manages the gas distribution service in the municipalities of STORO (TN), BAGOLINO (BS)
- NOVARETI S.p.A. a single shareholder, registered office at via Manzoni, 24 - 38078 ROVERETO (TN) - Subject to coordination and control by Dolomiti Energia Holding S.p.A. Manages gas distribution services in the municipalities of ALA, ALBIANO, ALDENO, ANDALO, BASELGA DI PINE', BEDOLLO, BESENELLO, BIENO, BORGO VALSUGANA, ALTOPIANO DELLA VIGOLANA, BRENTONICO, CALCERANICA AL LAGO, CALDONAZZO, CALLIANO, CAMPITELLO DI FASSA, CAMPODENNO, CAPRIANA, CARANO, CARZANO, CASTEL IVANO, CASTELLO TESINO, CASTELLO-MOLINA DI FIEMME, CASTELNUOVO, CAVEDAGO, CAVEDINE, CEMBRA LISIGNAGO, CINTE TESINO, CIVEZZANO, CLES, CONTA', DENNO, FAI DELLA PAGANELLA, ALTAVALLE, FOLGARIA, FORNACE, GIOVO, GRIGNO, ISERA, LAVARONE, LAVIS, LEVICO TERME, LONA LASES, LUSERNA, MADRUZZO, MAZZIN, MEZZOCORONA, MEZZOLOMBARDO, MOENA, MORI, NAGO-TORBOLE, VILLE D'ANAUNIA, TERRE D'ADIGE, NOGAREDO, NOMI, NOVALEDO, OSPEDALETTO, PANCHIA', PERGINE VALSUGANA, PIEVE TESINO, POMAROLO, SEN JAN DI FASSA, PREDAZZO, RONCEGNO TERME, ROVERE' DELLA LUNA ROVERETO, SAMONE, SCURELLE, SEGONZANO, SORAGA, SOVER, SPORMAGGIORE, SPORMINORE, PREDAIA, TELVE, TELVE DI SOPRA, TENNA, TERRAGNOLO, TESERO, TORCEGNO, TRAMBILENO, TRENTO, VALFLORIANA, VALLELAGHI, VILLA LAGARINA, VILLE DI FIEMME, VOLANO, ZAMBANA, ZIANO DI FIEMME (TN). The company also undertook to construct the distribution network and start up the service in the municipalities of CANAZEI and CAVALESE (frz. Masi only).
The single provincial ambit and the new manager
On the basis of its statutory powers, which are also recognised by the relevant state regulations, the Autonomous Province of Trento has established, with Provincial Law no. 20 of 2012 and in line with the national regulations, that the public service of natural gas distribution will be carried out in a single provincial area, except for any residual territorial modifications, identified by the Provincial Council, connected to technical or economic requirements. With Resolution no. 73 of 27 January 2012, the Provincial Council, in agreement with the Council of Local Autonomies, has in fact recognised the aggregation into a single area of all the Municipalities of Trentino to which the Municipality of Bagolino (BS) is also aggregated, as identified in the Ministerial Decree of 18 October 2011 by the Ministry for Economic Development in agreement with the Ministry for Relations with the Regions and Territorial Cohesion, the favourable opinion of the Municipality itself having been obtained. This supersedes the provision, formulated by the Ministry of Economic Development in its decree of 19 January 2011, to establish three autonomous areas (A.Te.M. Trento 1, Trento 2 and Trento 3). Moreover, the same provincial law no. 20 of 2012, in its articles 34 and 39, provides that
- upon the first application of the law, the state regulations relating to the tender criteria and the evaluation of the offer for the entrusting of the public service of natural gas distribution shall apply
- the Autonomous Province of Trento, or the provincial agencies, perform the functions of contracting station and the other functions that the state regulations devolve to the provincial capital municipality. In this regard, the Provincial Council - by Resolution no. 1825 of 27 October 2014 - identified the Provincial Agency for Water Resources and Energy (APRIE) as the entity responsible for taking care of the preparatory and preliminary phase of the tender (including any activities delegated by the municipalities in the area) and for handling all relations with the incoming operator pursuant to Article 2, paragraph 5, Ministerial Decree no. 226/2011, also making use of external consultants;
Therefore, the Provincial Agency for Water Resources and Energy - APRIE has been called upon, in place of the individual municipalities, to perform the typical tasks of the Ambit, thus having regard both to the process for the selection of the operator to which to entrust the gas distribution service for the entire single provincial ambit, and to perform the role of contractual counterparty (once the service is entrusted), namely that of monitoring and supervising the proper performance of the commitments undertaken by the ambit operator in the service contract with a duration of 12 years.
On 27 December 2023, the call for tenders was published to entrust the gas distribution service in the single provincial area. Consequently, at the end of the selection procedure, the operator who wins the tender will be awarded the service concession for a duration of 12 years. The operator, firstly, will take over from the 5 outgoing concessionaires the management of the existing gas distribution plants in the territories of the municipalities of the ambit (municipalities already methanised) and, secondly, will extend the service to some interested municipalities (municipalities not methanised) that have not been so far, building for this purpose new plants and networks according to its own project proposal.