FAQ Institutionals


  • What is the background of Snam?

    Snam Rete Gas (now Snam) was set up on 15 November 2000. On 1 July 2001 the company became operational, with the name of Snam Rete Gas and received the natural gas transport and dispatching and the liquefied natural gas regasification lines of business from eni S.p.A. Snam shares have been listed on the Italian stock market since 6 December 2001. On 30 June 2009, the company bought the entire share capital of Italgas, Italy's leading natural gas distributor, and Stogit, the country's biggest operator in the natural gas storage sector. On 5 December 2011, the Snam Ordinary and Extraordinary Shareholders’ Meeting authorised the transfer of the gas transmission, dispatching and metering business to the subsidiary company Snam Trasporto (100%) and approved, with effect from 1 January 2012, the change of its company name from “Snam Rete Gas” to “Snam.” Starting from 1 January 2012, Snam Trasporto has been renamed Snam Rete Gas. At 15 October 2012 eni S.p.A. has completed the sale of 30% of the voting share capital of Snam to Cassa Depositi e Prestiti (“CDP”). In early 2012 Snam signed a strategic alliance with Fluxys; in a 50/50 joint venture with the Belgian operator it acquired a 31.5% equity stake in the Interconnector UK, the subsea pipeline between the UK and Belgium, providing a link between the UK and the most important continental gas trading places; the two companies have also acquired from eni the 51% of Interconnector Zeebrugge Terminal and the 10% of Huberator. Confirming the key role that the Company aims to play on the international arena, at the beginning of 2013 Snam has taken part, through a 45% stake, in a consortium together with EdF (20%) and GIC (35%), the Singapore sovereign fund, for the acquisition of the assets of TIGF (Transport et Infrastructures Gaz de France), the player, owned by Total, which owns and manages a transport pipeline of 5,000 km and two storage sites in the southwest of France. On 5 April 2013 the consortium headed by Snam signed the definitive agreement, after winning the acquisition through an international bidding process. The transaction has been completed on 30 July 2013. On March 2014 Snam signed a MoU with Fluxys which further develops the Strategic Alliance of 2012 aimed at enhancing the development of reverse-flow capability on the South-North corridor. On December 2014 Snam completed the acquisition of the stake (84.47%) held by CDP GAS in Trans Austria Gasleitung GmbH (TAG), the largest import pipeline bringing Russian gas from Austria/Slovak border to Italy, which represents a strategic opportunity to establish reverse flow capability to Southern Germany and Eastern Europe. Snam's international development continued in 2015 with the acquisition of a 20% stake in Trans Adriatic Pipeline AG (TAP), the company responsible for developing the pipeline that will run from the Turkey-Greece border to Italy along the Southern Corridor, enabling gas produced in Azerbaijan to reach European markets through the italian infrastructure.
    It has been completed, effective as of 7 November 2016, the separation of Snam from the natural gas distribution business (Italgas). In December 2016 Snam, in a consortium with Allianz, completed the purchase from OMV of 49% of Gas Connect Austria: a unique opportunity for Allianz and Snam to invest in a well-established gas transportation network and essential infrastructure delivering gas to the Austrian domestic market. Given its strategic Central European location GCA also fulfills an important transportation function for several other adjacent markets.
  • What’s Snam business?

    Snam is Europe’s leading operator in the construction and management of gas infrastructures and one of the major players in terms of invested capital for regulatory purposes (regulated asset base, or RAB). Snam is active in transport, regasification and storage of natural gas through three operating companies: Snam Rete Gas (transmission and dispatching), Gnl Italia (regasification) and Stogit (storage).
  • What’s Snam’s gas network extension?

    At 31 December 2016 the Snam transport system consists of 32,508 km of natural gas pipelines, with a diameter from 25 to 1,400 mm and a pressure between 0.5 and 75 bar. Eleven compression stations dedicated to line pressure service are part of the network, along with gas regulation, reduction and mixing plants and other plants necessary for the transport and dispatching of gas. In accordance with resolution no. 120/01 ("Definition of criteria for the determination of rates for natural gas transport and dispatch and for the use of LNG terminals and the reservation of capacity"), the Snam natural gas pipelines have been divided into two parts: the first attributed to the National Gas Pipeline Network, for 9,590 km and the second to the Regional Gas Pipeline Network, for the remaining 22,918 km.
    Snam runs also 9 storage fields (through the subsidiary Stogit).
  • What are the main European peers for Snam?

    Snam operates in the regulated business of natural gas in Italy. Its main competitors in the regulated business of gas and electricity in Italy and in Europe, according to the financial community, are:
    -  Terna (Italy): main owner and operator of the National Transmission Network of electric energy at high voltage.
    -  Enagas (Spain): energy operator horizontally integrated, leader in transport and storage of natural gas and regasification of liquefied natural gas in Spain and System Operator on all the national network.
    -  REE (Spain): operator of the continental electric network, insular and extra-insular. It is also the System Operator.
    -  National Grid (UK): operates in the regulated businesses of transmission and distribution of electricity and gas mainly in UK and north-east United States . It was founded by the merger of National Grid Group and Lattice Group.
    On the basis of the regulated nature of the activity, the following English utilities operating in the water sector are also considered as peers: United Utilities e Severn Trent.


  • What does RAB stand for?

    RAB represents the Net Asset value, calculated by the Italian Authority (AEEGSI) for the calculation of reference revenues.
    The 2015 year end RAB was equal to 24.9 billion euro. The estimated value of 2016 year end RAB is equal to 19.4 billion euro
  • What is the Regulatory period?

    Period of time (usually four years) for which criteria are defined for setting tariffs for transporting and dispatching natural gas and for regasification of liquefied natural gas.
    Transportation:  we are in the fourth regulatory period, which runs from Jan. 1st 2014 to Dec. 31, 2017
    - Regasification: we are in the fourth regulatory period, which runs from Jan. 1st, 2014 to Dec. 31, 2017
    Storage: we are currently in the fourth regulatory period, which runs from Jan. 1st 2015 to Dec. 31, 2018.
  • What is the rate of return?

    The WACC ((Weighted avarage cost of capital) indicates the remuneration of the invested capital as recognised by the Italian Authority at the beginning of every regulatory period.

  • What is the rate of return for the different three businesses?

    The Italian Authority recognize to Snam a rate of return on net invested capital of 6.3% for 2015 and 5.4% for the years 2016-17 for transport; of 7.3% for 2015 and 6.6% for the years 2016-17 for regasification; of 6% for 2015 and 6.5% for the years 2016-18 for storage.

  • Does exist any incentive on new investments?

    The current regulation for the four businesses sets investment incentives in addition to the allowed remuneration rate (WACC) of invested capital. The extra return on the base remuneration and the related duration differ in relation to the different business and investment.


      Transport Storage Regasification


    6.3% 2015

    5.4% 2016-2017(*)



    6.0% 2015

    6.5% 2016-2018(*)

    7.3% 2015

    6.6% 2016-2017(*)





    WACC +1% on new investments made after 31 December 2013 to offset the regulatory time lag

    Return on investments
    t-1 to offset the regulatory time lag (from 2014)

    WACC +1% on new investments made after 31 December 2013 to offset the regulatory time lag

    1% for 7 years (regional network development investments)

    1% for 10 years (national network development investments)

    2% for 10 years (entry point development investments) 

      2% for 16 years (new terminals or expanding existing terminal capacity >30%)

     * The duration of the WACC regulatory period is set at six years (2016-2021), and a mechanism is provided to update the rate halfway through the period according to the economic situation.





  • On which Stock Exchange Snam share are listed?

    Snam shares have been listed on the Italian Stock Exchange since 6 December 2001. On March 18th, 2002, the company's shares were listed on the MIB30 index (today FTSE MIB). The Snam stock is also included in the leading international indexes (STOXX Europe 600, STOXX Europe Utilities) and increased its presence in the main international Sustainability Indices (Dow Jones Sustainability, FTSE4Good, Stoxx Global ESG Leaders, ECPI, MSCI, United Nations Global Compact 100, Vigeo and Ethibel).
  • Which is the identification number of Snam shares?

    All the shares listed on the Italian Stock Exchange are marked by an alphanumeric code with international validity. This code is an ISIN (International Securities Identification Number). For Snam shares the ISIN code is IT0003153415. Shares are also identified with an abbreviation (or ticker), which varies according to the market: the abbreviation for Snam shares listed on the Italian Stock Exchange is Snam. According to the different financial agencies (Reuters, Bloomberg), the suffix of the abbreviation can change, according to the following terms:

    Agency Snam abbreviation
    Reuters SRG.MI
    Bloomberg SRG IM

  • Which is your shareholding structure?

    At December 2016 Snam S.p.A. share capital amounted to 2,735,670,475.56 euro, represented by 3,500,638,294 ordinary shares without indication of nominal value. At the same date, according to the shareholder register and other available information, CDP Reti S.p.A. held 28.98% of the company’s share capital, Romano Minozzi 4.37%, Cdp Gas S.r.l. 1.12%, Bank of Italy 0.53%, Snam held treasury shares for 0.85%.

  • Dividend policy

    Snam equity story is underpinned by growth and dividend to drive a top ranking Total Shareholder Return. Thanks to its healthy results and solid business fundamentals, the Company will propose a dividend of €0.21 per share in 2016 to the Shareholder Meeting, to be paid from 24 May 2017. The dividend is expected to grow by 2.5% a year in the 2016-2018 period. The 2018 dividend is a floor for the following years.
    Starting from 2017, an interim dividend will be introduced. The Company will propose to the Shareholder Meeting the payment of the interim dividend in January 2018, corresponding to 40% of the total 2017 dividend, with payment of the remaining 60% in June.
  • What is the taxation on dividend?

    Dividends, distributed by Snam S.p.A to shareholders of ordinary shares, are paid and taxed by the intermediary, applying a withholding tax, as follows:
     dividends received by Italian residents, for tax purposes, are taxed by a withholding tax of 26%, since July 1st 2014.
     dividends received by non-Italian residents are taxed by a withholding tax of 26%. In order to avoid the double taxation, Double Tax Treaties between Italy and the States of residence of foreign shareholders may provide, upon request by the tax payer, the right to be refunded by the source country of any paid tax, in case it exceeds the amount established by the agreement, or, sometimes, the right to have the expected benefit immediately applied, already when the tax is deducted.
    For any further information, visit the website of Italian Fiscal Revenue www.agenziaentrate.gov.it.


  • What’s Snam capex plan?

    Snam capex plan amounts to 5.0 billion euro over the 2017-2021 period (out of which 1.3 billion euro is to be spent in 2017). More in depth, 4.1 billion euro of investments are finalised to the transport sector and 0.6 billion euro to the storage sector.

    The investments for transport will be aimed to increased flexibility and security of the transportation system in Italy; at ongoing improvements to the quality of the transportation service; increase interconnection between infrastructures and greater flexibility of gas flows in Europe.
    The projects included in the plan for the storage are aimed at ensuring further available storage capacity and the peak capacity, thus improve the overall flexibility and security of the system. 
  • What is the natural gas demand in Italy?

    In 2016 the Italian natural gas demand was around 70.88 billion cubic meters, +5.0% compared with 2015, due to the increase recorded in the thermoelectric sector (+13.1%), resulting primarily from decreased imports of energy generated by French nuclear plants and the lower supply of hydroelectric energy, as well as higher industrial sector consumption (+4.5%).




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05 August 2016 - 16:45 CEST