As a company we are called upon not only to carry out our activities in the best possible way but also to create shared value for our stakeholders.
The Business Model below shows the flow by which Italgas creates value over time by transforming its “capital into inputs” (value stock) through its activities, and produces outputs and outcomes, in order to meet its strategic goals and create value in the short-, medium- and long-term.
Our target market
Italgas is the leader in the gas distribution market in Italy and third in Europe.
This means that we are in the business of bringing gas to houses and businesses in our country, so that in our daily lives we can live with the comforts that gas offers (staying warm in winter, using hot water, cooking) and work thanks to the continuity of production in factories.
We distribute gas every day. For this reason, we work to serve all gas users: we check that the network in our cities is in excellent condition and has not even the smallest leaks, we ensure our intervention in case of emergency within one hour, we are committed to improving the network by innovating infrastructure and services, we guarantee continuity of service and ensure the cost-effectiveness of the system.
How we create value?
Accelerating digital transformation
We want to continue moving towards new horizons to improve the energy system, playing a leading role in an international scenario of innovation, energy transition and digitisation. We speed up the digital transformation through the Digital Factory and Bludigit, a new company of the Italgas Group. It is the driving force of our digital transformation, where we design and implement cutting-edge proprietary technologies that, in recent years, have helped to digitise our processes and improve operations, network management and service quality.
Italgas People Skill
Working with us means facing the new challenges of the energy transition on a day-to-day basis. We work with talent and passionate peapole with high skills that wants to innovate with us and contribute to the future of energy. So we invest in the professional development of our people. In 2021, a total of over 112,000 hours of training were provided of which 24,000 over for topics relating to digitization.
We are a leader in gas distribution, first in Italy and third in Europe. In order to achieve these objectives, we have defined a major investment plan for a total of 8.6 billion euros in the period 2022-2028 a commitment that aims not only to make distribution networks increasingly smart, but also to increasing efforts in the areas of energy efficiency and integrated water service.
Commitment to sustainability
With our investment plan and an increasingly digitalised grid, we are paving the way for the energy system of tomorrow, contributing to Europe’s ambitious decarbonisation process. We will be the first to have a digital infrastructure that will enable us to lead Europe towards full decarbonisation. Our digital network is gradually preparing to accommodate renewable sources, such as biomethane, which is already available today, and green hydrogen, the use of which is estimated to be economically viable from 2030. By 2028 we will reduce our greenhouse gas emissions by 34% and our energy consumption by 27%.
In the representation of the model, the capital inputs correspond to the resources and distinctive factors of the Group such as the distribution network, know-how, people, relations with stakeholders, which are used, transformed or increased in the various processes.
- Financial Capital Financial capital guarantees the cash flows needed to ensure investments, infrastructure management and achievement of the growth and diversification goals.
- Human Capital Human capital is made up of all the people at Italgas and their skills, knowledge and experience.
- Natural Capital Natural capital consists of the environmental resources used by the Group to carry out its activities, including the environmental resources themselves, such as natural gas, which enable the Group to provide the service.
- Relational Capital Relational capital consists of the relations built and preserved by Italgas within the community and with its reference stakeholders.
- Intellectual Capital Intellectual capital is made up of company know-how, company processes and systems enabling optimum management of business activities.
- Manufacturing Capital Manufacturing capital is made up of the Group’s assets.
The 2022-2028 Business Plan and the Sustainability Plan of the Italgas Group, also on the basis of the input capital, constitute the main guidelines along which the Italgas Group works (sustanability):
- Digital transformation
- Growth and development of the core business
- Decarbonisation process
- New opportunities
- Financial structure and return for shareholders
- Human resources.
The operations of the Italgas Group are also included in the business model. Below are the key processes of these operations:
- Governance processes
- Business processes
- Support processes
- Control processes.