Italy seeks alternatives to Russian gas dependence

Italy's government is negotiating with Algeria and Libya to establish a renewable energy agreement and to increase Algeria's gas supplies to Italy.

Yewande Oyewole
Yewande Oyewole

Italy seeks to diversify its gas supply away from Russia and increase its natural gas supply from Algeria. Algeria presently transports 60 million cubic meters (mcm) of natural gas to Italy via the Transmed pipeline, but the pipeline has a capacity of more than 110 mcm. The country is also negotiating with Algeria and Libya to mobilize and develop renewable energy resources to help diversify its energy mix by adopting clean energy from northern Africa's renewable energy-rich countries.

The ongoing Russia-Ukraine war has stressed the importance of both diverse energy supply chains and varied energy sources. Due to Italy's over-reliance on Russian oil and gas supplies, with approximately 45% of its energy supply derived from Russian gas, diversification will be crucial if the country is to preserve energy security both during and after the Russia-Ukraine conflict.

Globally, governments are seeking alternate oil supplies in response to price increases, gas shortages, and blackouts caused by the Ukraine war.
By exploiting renewable energy resources in Libya and Algeria and boosting its gas imports from Algeria, Italy will assist Africa's clean energy development and the clean energy transition while strengthening supply chains to fulfil its own domestic demand.

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Yewande Oyewole

Investment Professional | Renewable Energy Sector (Scribing in personal capacity)