Diana Furchtgott-Roth, from Real Clear Markets, has written the following article stressing how Italy has substantial problems in their economy. The EU forces Italy to buy subsidized alternative energy at almost five time the cost of other sources, increasing the Italian deficit and on top of that their politicians have the highest salaries in Europe.
Italian electricity companies have to buy all wind power generated at $392 per megawatt hour. They must buy solar power at $520 per megawatt hour. In comparison, electricity generated by natural gas costs $95 per megawatt hour. How ironic that the European Central Bank is trying to get Italy to reduce its deficit, yet the EU insists that Italy buy alternative electricity at four or five times the cost of natural gas. Austerity obviously doesn’t apply to electricity production.
Italy’s politicians have the highest salaries in Europe, $250,000 a year, plus $20,000 annually in travel expenses. When they retire, their pensions range from $47,000 to $200,000 a year.