the Italian Regulatory Authority for Energy, Networks and Environment

The Italian Regulatory Authority for Energy, Networks and the Environment (Autorità di Regolazione per Energia Reti e Ambiente, ARERA) is an independent body created under Italian Law No. 481 of 14 November 1995 for the purposes of protecting consumer interests and promoting the competition, efficiency and distribution of services with adequate levels of quality, through regulatory and control activities. Initially limited to electricity and natural gas, the Authority's scope of action has been extended by means of some regulatory interventions.

First, Italian Decree No.201/11 converted into Italian Law No. 214/11, assigned the Authority also responsibilities as regards water services. Article 21, para 19, provides that: 'as regards the Italian National Agency for Water Regulation and Supervision (Agenzia nazionale per la regolazione e la vigilanza in materia di acqua), the functions related to the regulation and control of water services are transferred to the Italian Regulatory Authority for Electricity and Gas. Said functions shall be performed with the same powers allocated to said Authority by Italian Law no. 481 of 14 November 1995'.

Later, Italian Legislative Decree No. 102 of 4 July 2014, transposing the Energy Efficiency Directive 2012/27/EU into national law, allocated the Authority specific functions as regards district heating and cooling; within this context, the Authority also exercises control, inspection and sanctioning functions as provided for by the law establishing its jurisdiction, and exercises sanctioning powers under Article 16 of Italian Legislative Decree No. 102/2014.

Moreover, Italian Law No. 205 of 27 December 2017 allocated the Authority regulatory and control functions over the waste cycle, including sorted, urban and related waste. Also in this field, the responsibilities attributed are performed with the same powers and within scope of the principles, purposes and assignments, including those of a sanctioning nature, provided for by Italian Law No. 481/1995.