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Italy Restores and Expands Transizione 5.0 Funds to €1.5 Billion

The reversal signals a bid to repair trust with manufacturers.

Overview

  • Ministers reversed last week’s cut on Wednesday, lifting the pool for pending Transizione 5.0 claims to €1.5 billion for companies that applied in November 2025.
  • Transizione 5.0 offers tax credits for investments that cut energy use, and officials said the top-up raises support to about 90% of eligible costs and to 100% for photovoltaic panels.
  • An urgent meeting at the Industry Ministry with Adolfo Urso, Tommaso Foti and viceminister Maurizio Leo followed fierce protests from employer groups after a decree had slashed the earmark to €537 million.
  • Around 7,417 projects were left exposed by the temporary cut, with firms saying they had already bought equipment based on state commitments and faced cash strains when refunds were reduced.
  • Officials gave differing accounts of the extra €200 million, with Leo citing earlier forecasts and Foti speaking of sacrifices elsewhere, and they also told business leaders to expect a fast decree to launch the new hyper-depreciation by early May.