Italy Experiences a Surge in Electricity Usage led by Heat Wave
Italy is currently experiencing exceptionally high electricity demand due to a severe, early heatwave, pushing daily power consumption up by 14% or more compared to normal periods. This surge in temperature, part of a broader pattern of rising temperatures across Europe and particularly Southern Europe, has led to record or near-record levels, often exceeding 40°C in parts of Italy and neighbouring countries.
The increased electricity demand is primarily due to the widespread use of air conditioning, as people seek to cool their homes and workplaces during the heatwave. This intense demand has strained the electricity system, at times causing infrastructure issues such as cable overheating, which was likely responsible for power outages on July 1, 2025 in cities like Florence and Bergamo.
To manage these elevated demands, Italy, and Europe more broadly, have been working to increase natural gas supplies and enhance grid reliability. However, geopolitical tensions and supply volatility have complicated these efforts. The energy sector has encouraged large consumers to adopt hedging strategies to shield against volatile market prices exacerbated by climate-driven demand increases and geopolitical uncertainties.
The summer period is always when Italy sees its highest electricity demand, and on potentially critical days, the minimum estimated import needed is around 1 GW. The system is further secured by the presence of the 'capacity market.' In the worst-case scenario, 4 GW of imports might be needed, but this is currently unlikely. The system will also be supplemented by energy storage systems contracted through the Macse auction.
Despite these efforts, the strain on infrastructure has already been felt, with power outages in Italian cities. These outages highlight ongoing challenges in maintaining a stable and affordable energy supply during extreme weather events, impacting Sustainable Development Goal 7 (Affordable and Clean Energy).
In June 2025, electricity demand was significantly higher than in June 2024. Last Saturday, electricity consumption reached over 55 gigawatts at the height of the day, close to its annual peak. The demand for electricity remains high, around 54 gigawatts per day. The electricity grid is supported by these measures to handle unexpected events.
It is expected that renewable capacity will be contracted through the FerX incentive scheme. The average Italian temperature in the last days of June 2025 is 27°C. The system is adequate, with a limited need for imports from abroad. The available interconnection capacity is approximately 10 GW.
The demand for air conditioners and ventilation systems has increased to ease the impact of the heat. Unusual heat in recent weeks has driven up electricity consumption to over 55 gigawatts. This situation underscores both the immediate operational pressures on Italy’s power system this summer and the broader necessity to strengthen energy infrastructure and diversify supply sources in the face of climate change-driven demand surges.
The energy sector acknowledges the need for large consumers to adopt hedging strategies, as volatile market prices are exacerbated by climate-driven demand increases and geopolitical uncertainties, such as the surge in electricity demand due to widespread use of air conditioning during heatwaves. Furthermore, the intense demand for electricity, particularly during extreme weather events, puts a strain on the infrastructure and highlights the need to strengthen energy infrastructure and diversify supply sources in the face of climate change-driven demand surges.
