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The Group is one of the main operators in Italy that generates electricity from waste; Hera in fact has exceeded 530 GWh in 2010 and is the only company that has managed to build and put 5 new WTE plants into operation in Italy over the last few years. This implementation has brought the installed capacity to over 100 megawatt and 1 million tonnes/year.

With respect to the lack of infrastructure in the Italian waste treatment sector, which ended up with the waste emergencies in Campania and Sicily, calls for tenders have been put in place to build new WTE plants in some regions of Italy. Herambiente is already preparing for participation in some calls for tenders in order to gain a foothold in this expanding market.

Hera has an almost complete coverage of the reference area in the gas sector. It is the largest of the Italian companies and the fourth on a national level in terms of volumes distributed. With over 1.1 million customers, Hera sells over 2.9 billion cubic metres of gas per year.

Volumes sold

Through the TAG gas pipeline, the Group has a direct transportation capacity from abroad for about 450 million m, to which is added a capacity of one billion m per year already contracted through the Galsi project, a gas pipeline between Italy and Algeria in which Hera holds a 10% stake. Furthermore, the sales volumes for the district heating activity have increased thanks to the implemented generation capacities and above all the deployment of the 80 MW Imola co-generation plan.

Heat Volumes Distributed

The conservative procurement policy based on the diversification of sources and flexible contracts, in addition to the trading activity on commodity markets, have allowed us to benefit from the negative market trend in regard to gas prices during 2010.

Since its establishment, Hera has pursued a dual fuel sales strategy, allowing it to develop the electricity market at sustained growth rates in various ways, both through cross-selling to existing customers, and through expansion of new markets. Hera is one of the 8 leading Italian operators, and also one of the companies with the highest growth rates.

Volumes sold

The market expansion in electricity industry was accompanied by a concurrent conservative development of the electricity generation activity. This strategy of partial coverage of the demand with own sources, together with the enhancement of the trading capacity allowed the necessary flexibility to properly manage the market situation of oversupply and strong pressure on generation margins, incurred on the domestic market.