The 2023-2029 Strategic Plan, presented on 15 June 2023, involves investments of EUR 7.8 billion to extend our network, complete the digital transformation and put us in a leading role in the energy transition.

The Strategic Plan 2023-2029

The new plan covers a total investment of €7.8 billion, with a primary focus on asset development and gas distribution activities in Italy and Greece, as well as initiatives in energy efficiency and water sector development. Within this sector, following the recently announced acquisition agreements for Veolia’s assets, the Group anticipates the opportunity to further expand its growth.

The Investment Plan

The ongoing impact of the Ukraine war continues to shape the landscape. With the REPowerEU initiative, the EU has charted a course that seeks to achieve several critical goals:

  • diversify energy sources
  • enhance energy security
  • reduce carbon emissions in consumption
  • bolster the economic competitiveness of companies

This path hinges on the utilization of renewable gases, namely biomethane and hydrogen, alongside a focus on energy efficiency. Biomethane and hydrogen are poised to take over approximately 50% of Russia’s share of imported natural gas in the EU by 2030, which amounts to around 70 billion cubic meters out of the 155 billion cubic meters in 2021.

This objective place significant responsibility on gas distribution system operators (DSOs) to safeguard the Union’s energy security. They must equip their respective nations with cutting-edge, digitally enabled, and adaptable networks that should not only stimulate the production of these gases but also facilitate direct connections and widespread utilization.

Aligned with the strategic decisions taken by the Group in recent years, the Plan aims to promote the ecological transition while upholding energy security and ensuring the competitiveness of energy costs, benefiting both businesses and households. 


The vision and strategic choices made in recent years position Italgas to significantly contribute to this solution through digitalized, flexible, and intelligent networks capable of accommodating renewable gas. These networks enable source diversification, consumption decarbonization, and greater efficiency and cost-effectiveness.

Paolo Gallo

The new plan provides for investments of EUR 7.8 billion.
Our allocation priorities include:


  • 6 billionfor the development, digitization and reconfiguration of the Italian gas distribution network.
  • 9 billionto advance the expansion of the distribution network in Greece, aligning with the country’s decarbonization objectives
  • 8 billionto accelerate growth in the water and energy efficiency sectors
  • 5 billionallocated for Atem tenders.

Digitalization, decarbonization, circular economy, training, diversity, and inclusion remain fundamental strategic elements in accomplishing our growth objectives. The outcomes will be contingent upon our capability to persistently invest in innovation and harness it through our workforce.

Digital transformation, repurposing and network extension

Development of distribution network in Greece

Diversification with Energy Efficiency and Water and Atem tenders

Sustainability objectives

Financial efficiency

Digital transformation, repurposing and network extension

The 2023-2029 Strategic Plan builds upon the ongoing transformation journey initiated some time ago, with the ambitious goal of positioning Italgas as the world’s pioneering gas utility with a comprehensive digitalized network. To facilitate the development and enhancement of the Italian gas distribution network, we have allocated a substantial budget of EUR 4.6 billion, distributed as follows:


1.6 billion euros, (approximately +100 million compared to the Previous Plan), have been earmarked for the ongoing digital transformation initiatives of the network. The goal is to achieve a fully digitalized network as early as 2024, with 90% of it remotely controlled through DANA (Digital Advanced Network Automation), our proprietary software. These investments will also create the necessary infrastructure to connect around 400 biomethane plants to the Italian and Greek distribution networks and to implement reverse flow technology towards the transport network, enabling the reception of quantities not locally consumed without significant limitations.

2.9 billion euros have been allocated for the continued repurposing, development, and improvement of existing infrastructure. Out of this, approximately €170 million will be used to complete Sardinia’s methanization process. This involves constructing the last ‘digital native’ networks and converting networks currently supplied with propane air and LPG to natural gas.

Furthermore, the Plan includes EUR 100 million in investments earmarked for growth through external operations in the gas sector. These operations will align with the strategic approach we have employed thus far.

Development of distribution network in Greece

The Italgas Strategic Plan for 2023-2029 has allocated €0.9 billion for the development of the Greek network. Due to the experience gained from the natural gas conversion process in Sardinia and the group’s expertise, these funds will be used to expand the network and enhancing its digital infrastructure. The objective is to facilitate the adoption of natural gas in underserved areas and facilitate the distribution of renewable gases.

These investments will lead to a substantial growth in the Greek network, increasing its length from 7,491 kilometers in 2022 (the year of the Depa Infrastructure acquisition) to approximately 11,000 kilometers by the conclusion of the plan, representing a remarkable 47% expansion.

A portion of these resources will also be dedicated to the integration of Depa Infrastructure into the Italgas Group. This integration will encompass various aspects, including IT systems and sustainability initiatives. Additionally, there will be a reorganization of operational companies, specifically Eda Thess, Eda Attikis, and Deda, which will be consolidated into a single Distribution System Operator (DSO). This consolidation is expected to generate significant gains in terms of operational efficiency, effectiveness, and the sharing of valuable knowledge.

Diversification with Energy Efficiency, Water and Atem tenders

Around €800 million has been allocated for business diversification, with a primary focus on fostering growth within the water sector and enhancing energy efficiency.

The investment commitment within the water sector has seen a substantial increase, now exceeding €400 million. This allocation is intended for carefully chosen mergers and acquisitions (M&A) operations, as well as the application of best practices and cutting-edge technologies derived from the gas distribution sector. These resources will be applied to both the enhancement of existing water networks and the integration of newly acquired ones.

Approximately €115 million has been designated for the completion of the acquisition of stakes currently held by the Veolia Group in companies operating in the regions of Lazio, Campania, and Sicily. Through this strategic move, the Group will directly and indirectly serve approximately 6.2 million people, constituting roughly 10% of the Italian population.

The commitment to planned investments in the energy efficiency sector remains unwavering, given its crucial role in meeting the targets set by REPowerEU and its growing significance within Italgas’ development strategies. The new plan dedicates more than €300 million to the advancement of the Group’s ESCo (Energy Service Company). These funds will be utilized for targeted mergers and acquisitions (M&A) operations and to fortify our presence and customer base in key sectors, including buildings, the public sector, industry, and the tertiary sector.

The planned investment amount for participation in Atem tenders and the development of acquired concessions amounts to €1.5 billion, aligning with the expected tender schedule. Through these investments, the company reaffirms its commitment to achieving a market share of 45% by the conclusion of the entire Atem allocation process, as opposed to the current 34%.

Sustainability objectives

In its commitment to driving the ecological transition, Italgas has extended the ambitious environmental goals initially established before the acquisition of DEPA Infrastructure to the entire Group, including its operations in Greece.


The objective to reduce net energy consumption by 27% in 2028 and 33% in 2030, relative to 2020 levels, remains firmly in place. This goal involves the implementation of energy efficiency initiatives in Greece, alongside the digitization and optimization of control and management systems for all operational assets. Additionally, it includes the development of fresh initiatives, capitalizing on the expertise of the Group’s ESCo, Geoside, as well as active collaboration with innovative startups focused on technological advancements.

Italgas reaffirms its commitment to reducing greenhouse gas emissions by 34% by 2028 and 42% by 2030 (with a 2020 baseline), and these targets now include the entire Group. Additionally, Italgas has expanded its environmental objectives to encompass Scope 3 emissions related to the supply chain. The company is determined to achieve a 30% reduction by 2028 and a 33% reduction by 2030 compared to 2020 levels, and it will do so by actively engaging with and collaborating more closely with its suppliers.

The climate change emission reduction targets, as defined, chart the Group’s progress toward the declared objective of achieving carbon neutrality by 2050, across Scope 1, 2 and 3 (supply chain).

Italgas for People

The Group remains committed to investing in upskilling and reskilling initiatives, with plans to deliver over 150,000 hours of training, including programs offered by the Italgas Academy, which started its activities in 2023. Additionally, the implementation of policies aimed at attracting top talent will persist, bringing in the necessary expertise to lead and facilitate effective change.

Over the next few years, generational turnover will continue to lower the average age of employees. Among the various challenges related to human capital, enhancing employee engagement and promoting gender equality stand out as key priorities. By the end of the plan, more than one in four managers will be women.

The pursuit of gender equality will also involve obtaining the UNI/PdR 125:2022 certification for Italgas S.p.A. by 2023, with the ambition of maintaining or even improving the certification score in the following years. Special attention will be given to achieving the target of maintaining the gender pay gap within +/- 3% by 2029.

Financial efficiency

The Debt-to-RAB ratio is expected to reach approximately 65% in 2023. Throughout the course of the plan, this ratio is forecasted to decrease to around 60% through cash generation and implemented initiatives, maintaining a robust investment-grade range. The average cost of debt is expected to rise from the current level of approximately 1% in 2023 to roughly 3% by the end of the plan, considering the prevailing market conditions.

Utilizing sustainable financing sources to support Italgas’ investments in the energy transition aligns the plan with EU objectives. Given the anticipated outcomes, the dividend policy is extended until 2026, with the aim of offering shareholders an attractive and sustainable remuneration, allowing them to continue benefiting from expected growth.

The new policy entails the distribution of a dividend, determined by the higher of (i) the amount resulting from the DPS 2022 of €0.317, increased by 4% annually, and (ii) the DPS equal to 65% of adjusted net income per share.

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