Bioenergy use in Italy is relatively low at about 3.5Mtoe/year. Biomass is used for single-house heating and district heating schemes, using forestry residues, mainly in northern Italy. It is also used in CHPs, based on agricultural and food industry waste, and for biodiesel production (approximately 100000 t/year). Italy’s heavy reliance on energy imports especially fossil fuels for electricity generation and environmental considerations are driving forces favoring bioenergy. Also the availability of significant biomass resources from agricultural and agro-industrial wastes, energy crops on set-aside agricultural land and wood fuel from improved forest management and reforestation are contributing to raise the interest in bioenergy.

A number of recent government policies related to energy, environment and agri­culture are indications of this interest. The Italian government has approved a White Paper on renewable energy and national guidelines for the reduction of green­house gases. The White Paper indicates a target of 8-10 Mtoe for primary energy from biomass (24 Mtoe for all renewables). This policy paper is complemented by a Biomass Implementation Programme based on the action plan National Programme for Renewable Energy from Biomass, designed by the Ministry of Agriculture. Fiscal incentives are directed at biodiesel for transport, by which 300000 t/year are exempted from taxes over a period of three years. No quotas are placed on biodiesel for heating purposes, which is also tax exempt. The Italian government is now in the process of setting targets for Italy under the EU biofuels directive.

However, important barriers persist, such as the lack of a nonfood crop policy, organizational barriers in terms of concerted actions on the part of stakeholders in the bioenergy chain, and possibly some public opposition to biomass schemes. Progress in joined-up thinking needs to consider more closely the benefits and risks of bioenergy, innovation in the bioenergy chains, and organizational and institutional barriers.