Investment boom by Italian utilities. This was revealed by the Top Utility 2019 research conducted by Althesys by sifting through the balance sheets of the 100 major utilities operating in Italy in the electricity, gas, integrated water service and municipal waste collection sectors. Companies that generated an aggregate production value close to 2017 billion euros in 112, equal to 6,5% of the Italian GDP, and almost half of them invoice at least 100 million euros (12% exceeds one billion). 67% of the companies considered have total public capital (100% of those of the water service, which is also the subject of the so-called "public water" bill, the process of which is underway in the Environment Commission), while 20% is mixed and 9% are publicly traded and only 4% private. The total investments in calendar year 2017 amounted to 5,7 billion, up 25,6% compared to 4,5 billion in 2016. The figure represents 1,9% of total gross fixed investments in Italy in 2017 and 0,3% of national GDP.
INVESTMENTS
Investments are mainly driven by electricity companies, with approximately 2,6 billion euros invested, equal to almost half of the total (45,8%) and with a growth of +32% on 2016. However, they also make a great contribution utilities active in the water service, thanks to the regulation of Arera which has favored investments in recent years: just as the water re-nationalization project wanted by the 5 Star Movement is being discussed in Parliament, Althesys reports that investments in the sector grew by 21,1% from 2016 to 2017, approaching one billion euros, reflecting the ongoing efforts to improve the quality of the networks. Not only that: while the average investment per inhabitant is 37,1 euros, 40% more than the value of the previous year (26,2 euros), only for the multiutilities active in the water service this figure increases further, reaching 47,6 euros per inhabitant.
TURNOVER AND SUSTAINABILITY
However, the study shows a drop in the revenues of the Top 100, mainly due to the difficulties encountered by companies in the electricity sector (turnover dropped by 5% compared to 2016), penalized by the falling prices and demand. Of the opposite sign are the gas monoutilities which, after the sharp decline recorded in the previous edition, in 2017 recorded an increase in turnover of 12,2%. The multiutilities increased the value of production by 6,2%, followed by the monoutilities of the water system (+5%) and waste (+4%). Sustainability is increasingly at the center of the activities of the top Italian utilities: in 2017, 51 companies drew up a sustainability report, fourteen more than the previous year and seventeen compared to 2015. However, only 31 were among those kept to do so, while for the other 20 it was a free choice. Certifications are also growing, both in terms of product and environmental, energy efficiency and occupational safety certifications.
SERVICE AND COMPLAINTS
Among the many flattering data, there are also some that go against the trend, as well as various indicators that are decreasing. For example, the decline in the average customer satisfaction index continues, down to 80,4 from 81,8 in the sixth edition of the report, a phenomenon already demonstrated last year. Some indicators point to a deterioration, such as the average billing adjustment times (which rose to 33,1 days from the previous 19,2) and the quality of the call center service. Other indices, such as response times to complaints or waiting at branches, remain in line with previous years. On the other hand, customer complaints decreased, the incidence of which went from 1,2% to 0,7%.
THE BEST UTILITIES ACCORDING TO ALTHESYS
The research also awarded prizes to Italian excellence in the sector. The absolute best was A2A (in the final with Acque SpA, Aimag, Gruppo Cap and Smat); first for Sustainability is instead Acque SpA (finalist with Brianzacque, Cap Group, Estra and Nuove Acque); Hera stood out for Communication (with A2A, Aimag, Cap Group, Etra), for RSE Research and Innovation Cap Group (with Acquedotto Pugliese, Iren, Hera, Smat). In the Consumers and Territory category, the best was Aimag (with Acea, Aset, Nuove Acque, Smat) and, lastly, Estra stood out in the Crif Operating Performance category (with A2A, CVA, Contarina, Savno).
"The analysis highlights the centrality of the public utility services sector for the entire country system - comments the economist Alessandro Marangoni, CEO of Althesys and coordinator of the Top Utility research group. – The enormous effort produced by companies in terms of efficiency and technologies to improve infrastructures, plants and networks, highlighted by the data on investments, especially that of the water sector, testifies to the clear willingness of companies to bet on the future, now under discussion by the water law proposal, which could cancel investments and excellence."
