An initial 20 MW unit is planned as part of a move away from massive oil demand to a greater diversity of energy resources

Italian utility giant Enel plans to construct a 20 MW hydrogen-fuelled power plant by 2007. The plant, which be located in Fusina in Veneto province, will cost around €33 million and will be partly financed by the Italian environment ministry and the Veneto regional government.

Initially, the plant will be supplied with hydrogen produced as a by-product from the Marghera industrial plant before it is modified to use a coal-gasification process.

The moves follow the announcement of Enel plans to invest €20 billion ($25.8 billion) by 2009 and almost eliminate oil usage by 2009. With coal usage increased by 50 %, renewables by 30%, and combined cycle gas up by 20% oil will be replaced with coal, renewables and gas.