Green Economy in Italy: Where Do We Stand?
A year of environmental warnings and opportunities for Change
The year 2023 sounded another alarm for the environment in Italy. It was the second warmest year on record (Ispra), with average temperatures increasing by 2–3 degrees over the last 40 years. Tropical nights, with temperatures above 20°C, have become more frequent, while extreme weather events reached a record 3,400 occurrences—over three times as many as in 2018. This situation worsened with up to a 70% snow water deficit in the Po and Adige river basins.

Source: Data from the “Report on the State of the Green Economy,” presented at Ecomondo 2024.
Greenhouse Gas Emissions reduction
Italy reduced its greenhouse gas emissions by 6% in 2023, dropping below 390 million tons, thanks to decreased coal usage and the growth of renewable energy, which now accounts for 45% of national electricity production. However, the overall reduction since 1990 stands at 25%, below the European average (-29%) and far from Germany’s achievement (-41%).
Renewable energy expansion
2023 saw a positive increase in renewable electricity production, exceeding 44%, driven by hydropower and the installation of 6 GW of solar and wind capacity. However, to meet the EU’s 2030 targets, installation rates must double to 11–12 GW per year. In the thermal sector, renewables account for 21% of consumption, below the EU average (25%), while in transportation, they cover 10%, with biodiesel playing a key role and biogas contributions on the rise.
Decline in fossil fuel consumption
Primary energy consumption dropped by 4 Mtoe (Million Tons of Oil Equivalent) due to reductions in natural gas (-5.6 Mtoe), coal (-2.2 Mtoe), and oil (-1 Mtoe), partially offset by a 3.3 Mtoe increase in renewables. However, the transportation sector saw a 2.2% rise in consumption, while buildings—accounting for 40% of energy demand—experienced a 5.5% decline.
Agriculture: climate impacts and organic growth
Climate challenges led to a 2.5% drop in agricultural production, with significant reductions in wine (-17.4%), fruit (-11.2%), and olive oil (-3%). Meanwhile, organic farming continued to expand, covering 19.8% of the Utilized Agricultural Area (UAA) with 2.45 million hectares, edging closer to the EU’s 25% target for 2030.
Cars on growth, electric behind
Despite an increase in the total car fleet to 41 million vehicles, electric cars made up only 8.6%, well below the EU average of 22%. Italy remains one of the most motorized countries in Europe, with 694 cars per 1,000 inhabitants.
Circular economy and resource consumption
Italy stands out in Europe for its circular economy, yet land consumption remains critical: between 2021 and 2022, 70.8 km² of land were lost, with peaks in Lombardy and Veneto. Water scarcity is equally concerning, with availability reduced by 20% since 1921 and water losses exceeding 50% in southern Italy.
Urban green spaces stagnant
Urban green space has remained unchanged since 2016. Only 8% of major cities have adopted a Green Plan, and the average availability of accessible green areas is just 8.55 m² for every 100 m² of urbanized space.
Regg3’s role in the transition
Italy has made significant progress in reducing emissions and increasing renewable energy, but achieving a sustainable transition requires acceleration on multiple fronts. Reducing land consumption, improving water resource management, promoting electric mobility, and expanding urban green spaces are strategic priorities that cannot be postponed.

The European Green Deal offers a key opportunity to address these challenges in a coordinated and systemic way, fostering a new model of sustainable development.

In this context, the Regg3 model offers a concrete contribution. By providing measurable and objective impact areas, Regg3 enables a 360-degree evaluation of socio-environmental policies. This approach helps organizations and policymakers understand how various actions affect ecosystem and societal health, integrating environment, economy, and social values into a comprehensive vision.

Regg3 aims to deliver a practical and accessible tool to support organizations and regions in measuring and enhancing their positive impact, guiding the shift toward a more sustainable future.