Italy: Snam plans net zero emissions by 2040, strong bet on NGV mobility
Snam CEO Marco Alverà has presented the 2020-2024 plan with approx. € 7.4 billion in investments (compared to the € 6.5 billion of the 2019-2023 plan), approved by the Board of Directors chaired by Nicola Bedin. Snam is committed to achieving carbon neutrality by 2040, in line with the 1.5° C containment target set by the Paris Agreement, thus further consolidating its ESG (Environmental, Social and Governance) leadership.
“The 2020-2024 plan opens a new phase in the history of Snam, which in the climate challenge is ideally positioned to play an important role in the energy transition, with a long-term vision consistent with its purpose and European objectives. Snam will be one of the first energy companies to reach carbon neutrality in 2040 and provide a wide contribution to the decarbonization of the system through the development of green gases and, in particular, hydrogen,” said Alverá.
The enabling of the infrastructure to transport increasing quantities of renewable gas and the new activities in the energy transition will also make it possible to contribute to the general reduction of emissions in the territories in which Snam operates: in 2024, the company will allow the system to avoid emissions of over 600,000 tons of CO₂ equivalent, also thanks to the production of biomethane, energy efficiency initiatives and sustainable CNG and LNG mobility projects.
In recent years, Snam has created a wide and diversified platform of activities (energy efficiency, biomethane production and infrastructure, sustainable mobility, hydrogen along the entire value chain) to be a “system integrator” able to offer green solutions and contribute to development of renewable gases. For the period 2020-2024, Snam’s investments in energy transition activities will amount to approximately € 720 million, almost doubled compared to the previous plan, with an annual contribution to EBITDA of € 150 million from 2024.
Regarding sustainable mobility, Snam4Mobility provides integrated services for “smart green” CNG, LNG and biomethane transportation, building distribution infrastructure and supplying components for distributors (compressors, dispensers) of which, through Cubogas, it is among market leaders.
At the end of the plan, the company expects the construction of 142 new refueling stations and the expansion of the offer for heavy vehicles also thanks to the activation of a new small-scale liquefaction plant and the adaptation of the Panigaglia LNG terminal for truck-loading services for transport. In addition, over the course of the plan, Snam4Mobility plans to launch the first five hydrogen stations. Approximately € 150 million of investments are planned to 2024.