ROME, ITALY / RankWire.AI / – Italy has allocated €1.55 billion to fund 59 water infrastructure projects across 17 regions as part of its national recovery plan. The Ministry of Infrastructure and Transport finalized this distribution within four months. The set of projects encompasses aqueduct systems, distribution networks, and other essential water supply and safety infrastructure. The majority of the funding will benefit southern regions. This investment combines national recovery funds with additional contributions from project beneficiaries.

Approximately €830 million, or 53% of the total public funds, will go to southern Italy, surpassing the program’s 40% minimum allocation for the southern regions. Beneficiaries are expected to contribute about €683 million of their own financing to the approved projects, resulting in a total combined investment exceeding €2.2 billion. The funds aim to enhance water efficiency, reinforce infrastructure resilience, and minimize losses across water supply networks.
Italy manages the distribution of these funds through SFNIISSI, its financing scheme dedicated to strategic water infrastructure and ensuring water supply security. This initiative is part of the country’s PNRR recovery framework and leverages NextGenerationEU resources. Initially, €1 billion was available, which was increased by an additional €576 million in August. Invitalia is responsible for handling applications, grant procedures, and monitoring project progress under this program. Oversight of the broader water investment strategy linked to the funding remains with the Ministry of Infrastructure and Transport.
Majority of funding allocated to southern Italy
Recipients eligible for grants include public authorities and companies tasked with managing water resources and infrastructure. Grants can finance up to 90% of eligible costs for projects aimed at improving efficiency and structural safety. Digital projects that seek to reduce water losses can receive up to 85% funding. The application window opened on May 6 and extended until June 8. Following the submission period, officials reviewed the proposals and distributed the available funds among the approved projects.
Funding supports projects already outlined in national plans and other priority programs. These projects include upgrades to aqueducts, distribution systems, and facilities designed to secure reliable water supplies. Invitalia oversees the administrative aspects of the grants and monitors the implementation of funded projects. When combined with beneficiary contributions, the overall program value exceeds €2.2 billion. This figure includes both public investments and additional private or beneficiary funds committed to the projects.
Expansion of previous water infrastructure efforts
This allocation builds on prior PNRR investments in Italy’s primary water infrastructure. By July, the country had completed 48 water systems under another recovery measure, exceeding the target of 45. Among these, 37 were classified as complex infrastructure projects. Authorities also reported 79 individual interventions completed by 52 managing entities. Recovery funds of around €1 billion supported 124 projects involving reservoirs and water systems for drinking, irrigation, and mixed-use purposes.
Of the 48 completed systems, 25 primarily support irrigation, while 20 serve drinking-water needs. The remaining three systems are multifunctional. Italy has also allocated over €6 billion for water-related initiatives through its broader infrastructure investment framework. The recent €1.55 billion distribution adds 59 new water projects to this extensive upgrade plan. With the funds now allocated, these projects are set to progress to implementation according to the established PNRR schedule and monitoring procedures.
