Energy Release 2.0: agreement between Alfa Acciai and GreenGo for 70 MW of new solar power capacity

GreenGo, an independent renewable energy producer (IPP), and Alfa Acciai, a subsidiary of Holding Siderurgica Investimenti, one of Italy's leading steel producers, have signed an agreement under the Energy Release 2.0 mechanism, promoted by the Energy Services Operator (GSE) and the Ministry of the Environment and Energy Security (MASE).

The agreement consolidates a model of collaboration between energy-intensive industry and the renewable energy sector, contributing to the security of the national energy system and the predictability of energy costs.

Energy Release 2.0: background

The Energy Release 2.0 mechanism allows energy-intensive companies to access dedicated volumes in return for a commitment to develop new renewable capacity. 

Under the Energy Release 2.0 procedure, Alfa Acciai has been allocated approximately 300 GWh per year for the three-year period 2025–2027, corresponding to 30% of the Group's total electricity consumption. 

In this context, GreenGo acts as the entity responsible for production and restitution, contributing directly to the development of new renewable energy plants in Italy, in line with the objectives of energy security and industrial competitiveness.

An Italian industrial partnership

With over €1 billion in turnover from its steelmaking activities, the Siderurgica Investimenti Group is a key player in the European manufacturing sector and a leader in Italy in steel production using electric furnaces. 

The agreement enables the development of approximately 70 MW of new renewable capacity, broken down as follows:

>35 MW under a feed-in tariff scheme with a CfD at €65/MWh provided by the GSE for twenty years from the commissioning of the new photovoltaic capacity; >a further 35 MW that GreenGo will develop and deploy through private commercial solutions (virtual PPAs, corporate PPAs).

The transaction helps to ensure stability and predictability of energy costs for the steel industry, enables new investments in the renewables sector and results in the avoidance of approximately 75,000 tCO₂eq associated with industrial consumption each year.

Thanks to this transaction, GreenGo further consolidates its IPP platform, bringing its total contracted renewable capacity to approximately 351 MW, of which 323.5 MW relates to public sector initiatives. 

Within this portfolio, Energy Release 2.0 accounts for 126 MW under contract and enables a development scope exceeding 252 MW, of which 70 MW are linked to the agreement with Alfa Acciai. 

In this context, GreenGo accounts for approximately 5.2% of the total annual energy volume allocated by the GSE under the mechanism, corresponding to 1.178 TWh per year attributable to the Group out of a total of 22.5 TWh per year.

For Alfa Acciai, the agreement represents a concrete step towards building a more resilient energy portfolio that is consistent with its sustainability objectives.

GreenGo was advised by the law firm ADVANT NCTM, Avv. Viganò on contractual matters, and by Latitude on energy management aspects.

Statements

Giuseppe Mastropieri, CEO of GreenGo:

"Energy Release 2.0 is a valuable systemic tool that enables the combination of renewable energy development, energy security and industrial competitiveness. We are honoured by the agreement reached with Alfa Acciai, a strategic company for the country, which we have come to appreciate for its entrepreneurial dynamism and strong awareness of the dynamics of development and the renewable energy industry. Thanks to this agreement, GreenGo achieve 350 MW of renewable capacity supported by mechanisms provided by the GSE and is positioning itself among the most significant independent producers in the Energy Release scheme thanks to its ability to engage with Italian industry through concrete investments and long-term synergies in industrial relations."

Giovanni Fortini, CFO of Alfa Acciai:

"Alfa Acciai regards energy release and PPAs as strategic and complementary tools for ensuring stability in energy costs and greater industrial competitiveness in the medium to long term. 

The integration of regulated procurement and direct supply agreements provides efficient hedging against price volatility and supports the Group's sustainability objectives.

The transaction with GreenGo therefore represents a concrete step for Alfa Acciai towards building a more robust and integrated energy model, capable of supporting industrial development over time."

About GreenGo

GreenGo, founded in 2018 as a start-up, has rapidly achieved significant milestones, led by Giuseppe Mastropieri and driven by the exceptional expertise and strong dedication of a constantly growing team of high-profile professionals and managers: the company now has 50 employees and collaborators, as well as exclusive partners throughout Italy.

The partnership with the Eiffel Essentiel fund, launched in 2022 with a capitalisation of €7 million and renewed with a €20 million equity bridge in 2023, has accelerated GreenGo's growth, positioning the company as a key player in the Italian and Southern European landscape for the development of utility-scale renewable energy plants. To date, GreenGo has over 700 MW of authorised capacity across solar, wind and storage, of which over 50% forms part of the independent power producer (IPP) platform, the primary objective of the current business plan.

GreenGo, part of the FIMM Group, has been based at the new S/PARK green hub – Sustainability Workplace – located at Via G. Matteotti 31/2 in Bologna since September 2023. The facility, conceived and designed by Fimm S.R.L., represents a significant redevelopment of an architectural site of artistic and urban significance and stands as a benchmark for the Italian green economy, hosting the Group's activities and opening its doors to companies, professionals and institutions.

About Alfa Acciai

For over 70 years, Alfa Acciai has been one of Europe's leading producers of steel for reinforced concrete and wire rod. It is a technologically advanced manufacturing company, which has always respected people and the environment, and is active throughout the entire steel supply chain.

Controlled by the holding company Siderurgica Investimenti, the Group employs over 1,200 people, has a total production capacity of 2.5 million tonnes per year of steel and rolled products, and has always been characterised by a high level of expertise, industrial flexibility, high operational efficiency both upstream and downstream of the smelting process, and strong financial and capital stability.

A strong ethic of social responsibility, regular plant and management interventions, and a focus on and responsiveness to the needs of its stakeholders: these are the cornerstones upon which Alfa Acciai has grown and evolved over the years, operating in the steel sector to the highest standards of excellence.

The Group, in addition to representing one of the most established models of the circular economy, such as that of electric steelmaking, is committed to making steel production increasingly sustainable through an integrated approach that encompasses all environmental sectors (Energy, Air, Water and Soil) and the continuous search for the best technical, managerial and organisational solutions to improve consumption efficiency.