Italy’s Environment Ministry has given utility company Enel SpA's the go-ahead to convert a large oil-fired power plant in northern Italy to coal.
Enel, which generates about 24% of its domestic power production from coal, aims to convert the oil plants in its power generation portfolio to coal, despite opposition from some local communities, with a view to cutting its raw material costs.
In a statement, the Environment Ministry said its environmental impact assessment (EIA) commission had approved the conversion of Enel's Porto Tolle plant to coal, some four years after Enel had first asked for clearance.
After the environment minister has signed the EIA order, the final stage in the permitting process will be final clearance by the industry minister.
Enel has estimated it will take five years to convert the plant with investments totalling Euro 2.2B.
