Utilities

The utilities sector includes companies that are dedicated to the provision and management of services to citizens. In this context, the debt fund has financed in particular companies that manage the water and waste services in an integrated way.

The Integrated Water System in Italy is historically characterized by obsolete and inefficient infrastructures with high water losses, investing in water distribution infrastructure is essential to improve the standards of water service in Italy.

The objectives of recovering materials and energy from waste are an integral part of the European strategy for a circular and sustainable economy. Although Italy has exceeded the targets set for waste recycling at European level, further efforts will be needed both to achieve more challenging goals in the coming years and to bridge the service divide between northern and central and southern regions, where important structural gaps currently remain. Therefore, also in line with the PNRR, investments in new plants are essential to reduce the use of landfills and close the waste cycle in an efficient and sustainable way.

In 2023, IDF1 directly structured and signed a tranche of a loan in favor of a company that has been managing the integrated water service and the integrated waste service in Veneto since 2007. The company has already achieved results beyond the European targets in separate waste collection. The new loan helps to finance an investment plan to modernise the water network, expand the capacity of the energy recovery plant for unsorted waste and upgrade the treatment plants for sorted waste with a view to the circular economy.

In 2024, IDF1 also provided a loan under a Green Finance Framework to one of the main regional multi-utilities on the national scene active in the sale of electricity, natural gas and district heating and in other public services such as lighting, smart mobility, telecommunications and waste management.