The Law Decree of 20 February 2026, No. 21 (the Decree), published in the Offcial Gazette on 21 February 2026, introduces “urgent measures to reduce electricity and gas costs, enhance industrial competitiveness, support decarbonisation, address virtual congestion in the national electricity grid, and integrate data centres into the electricity system”.
The Decree comprises 12 articles across two chapters, covering, inter alia, electricity costs, renewable energy, grid connections, data centres, tax and gas. It entered into force on 22 February 2026 and must be converted into law by the Italian Parliament by 21 April 2026.
The purpose of this alert is to provide a clear and concise overview of the Decree’s key provisions and their potential implications for energy costs, industrial competitiveness, the energy transition, grid connection management, renewable and bioenergy incentives, and the authorisation process for data centres.
