COMPANY

Power Generation

Eni's electricity generation sites are located in Ferrera Erbognone, Ravenna, Livorno, Taranto, Mantova, Brindisi and Ferrara. In 2008, electricity production sold was 23.33 TWh, down 2.16 TWh or 8.5% from 2007, due mainly to lower production at the Brindisi, Ravenna and Livorno plants, partly offset by increased production at the Ferrera Erbognone plant.

At December 31, 2008 installed capacity was 4.9 GW. Eni expects to complete the upgrading plan of its power generation capacity in 2012, targeting an installed capacity of 5.5 GW. The development plan is underway at Taranto (Eni's interest 100%) and Ferrara (Eni's interest 51%), where in partnership with Swiss company EGL Holding Luxembourg AG the construction of two new 390 megawatt combined cycle units is ongoing with start-up expected in 2009.

enipower plants and sites in Italy
SALES
ELECTRICITY SALES

Enipower plants and sites Italy

Electricity sales
In 2008 sales of electricity (29.93 TWh) were directed to the free market (76%), the electricity exchange (13%), industrial sites (9%) and ESO (Electricity Services Operator) and VPP (2%). In 2008 sales declined by 3.26 TWh, down 9.8%, reflecting lower traded volumes.
The decrease mainly regarded sales to the electricity exchange. Sales on the free market to wholesalers increased due to higher spot sales, and so did sales to industrial users due to new customers acquired. The program for expanding the dual offer of gas and electricity continued targeting a penetration rate of over 20% of Eni's retail customer base.

Electricity sales	(TWh)	2006	2007	2008	Change	% Ch.

Electricity production		24.82	25.49	23.33	(2.16)	(8.5)
Trading of electricity		6.21	7.70	6.60	(1.10)	(14.3)
		31.03	33.19	29.93	(3.26)	(9.8)

Free market		16.22	20.73	22.89	2.16	10.4
Italian Exchange for electricity		9.67	8.66	3.82	(4.84)	(55.9)
Industrial plants		2.70	2.81	2.71	(0.10)	(3.6)
ESO/VPP		2.44	0.99	0.51	(0.48)	(48.5)
Electricity sales		31.03	33.19	29.93	(3.26)	(9.8)