Terna S.p.A. (TERNA - Rete Elettrica Nazionale S.p.A.) operates as Italy's primary transmission system operator (TSO), managing over 75,000 kilometers of high-voltage and extra-high-voltage power lines, hundreds of electrical substations, and cross-border interconnections. The group operates under a regulated concession granted by the Italian government, subject to tariff and regulatory frameworks defined by the Italian Regulatory Authority for Energy, Networks and Environment (ARERA).
The company operates primarily through three business segments:
1. Regulated Activities (representing over 80% of revenue): Covers the core development, planning, operation, and maintenance of the Italian National Transmission Grid (NTG), as well as electricity dispatching and grid system services funded by regulated tariff returns based on regulatory asset base (RAB).
2. Non-Regulated Activities: Provides commercial engineering, procurement, construction (EPC), operation, and maintenance services for renewable plants, energy efficiency solutions, telecommunications infrastructure, high-voltage transformers (Tamini), and specialized terrestrial cabling (Brugg Cables).
3. International Activities: Manages electricity transmission infrastructure concessions, technical advisory, and interconnector projects abroad, including historical concessions in Latin America and cross-border interconnection initiatives in the Mediterranean basin.
Financially, Terna derives the overwhelming majority of its revenue within Italy from tariff-based transmission and dispatching fees. Through multi-billion-euro long-term capital expenditure programs, Terna spearheads major transmission interconnections (such as the Tyrrhenian Link and international cross-border undersea cables) designed to integrate growing offshore and onshore solar and wind capacity into the national power system.
