Creating sustainable value: the Snam business model

Creating sustainable value: the Snam business model

Snam's business model is based on sustainable growth, transparency, the enhancement of talent and diversity, and the protection and social development of local areas, also through the work of Fondazione Snam.

The Group bases its business model on its values, integrating new commitments relative to the energy transition with its traditional core business. This model pursues sustainable success through the creation of long-term value to benefit shareholders, while simultaneously considering the interests of other relevant stakeholders. The business plan and ESG coexist and are interconnected, with the goal of providing a concrete contribution to the achievement of the United Nations Sustainable Development Goals.

The repositioning of the company in recent years and the projects called for the in the new plan create the conditions for the Group to take advantage of the opportunities provided by the energy transition, in part thanks to the skills acquired by Snam personnel and the increasing digitalisation of processes.


Target market

Snam is the largest in Europe in terms of the size of its transmission network (over 41,000 km, including international assets) and in terms of natural gas storage capacity (around 20 billion cubic metres, including international assets) and is one of the largest continental operators in regasification with a total pro quota regasification capacity of around 8.5 bcm annually, through the LNG terminal in Panigaglia (GNL Italia) and its stakes in the Livorno (OLT) and Rovigo (Adriatic LNG) terminals in Italy and in the Revithoussa (DESFA) terminal in Greece.

The company sustainable and technologically advanced network guarantees security of supply while also contributing to promote the energy transition. Snam is a point of reference for the integration of in the Italian energy mix of biomethane and hydrogen, sources of clean and versatile energy which promote the existing transportation and storage infrastructures. In its strategic plan, Snam plans total investments of 10 billion euros and more focus on the energy transition businesses.

• Transition to a low-emissions future
• Energy efficiency
• New energies
• Biodiversity

• Diversity and inclusion
• Health and safety
• Local development
• Supply chain
• Value for the communities
• Secure and reliable energy
• Fighting corruption and illegality
20 bcm
8.5 bcm per year
> 41,000 km of network
Sustainable mobility
Energy efficiency
  • International profile
• Long-term growth of the Core Business
• Ability to execute and technological innovation
• Energy transition
• Net-Zero Carbon Strategy
• Solid financial structure and disciplined investment

Sources of differentiation

"Energy to inspire the world" is the message that guides Snam's way of doing business and that, in 2021, was formally added to its Bylaws. In fact, on 2 February 2021 the Shareholders' Meeting approved the amendment to the Bylaws, expressly referencing energy transition business in combination with core regulated activities business, as well as including the pursuit of sustainable success among the goals which the Company's business must focus on.

With the 2022-2026 Strategic Plan the Group confirmed the goal of taking a leading role in the energy transition, thanks to the new businesses (biomethane, hydrogen, energy efficiency, sustainable mobility) and the innovation component, and aims of achieving carbon neutrality by 2040, ahead of the European target set for 2050.

Sustainability is central to the Group's strategy and this is also demonstrated by the the ESG Scorecard, which aims to explain and report to stakeholders in a timely and transparent manner the environmental, social and governance targets that Snam has defined in line with its sustainable development strategy.

In June 2020 Cassa Depositi e Prestiti and Snam announced the foundation of Arbolia, a benefit company established to develop reforesting and CO2 absorption projects in Italian cities, to be carried out in part with the involvement of companies and private citizens who want to contribute to protecting the environment. The benefit company's goal is to plant 3 million new trees by 2030, to absorb around 200 thousand tonnes of CO2.

Furthermore, in February 2022, Renovit, the company controlled by Snam and owned by CDP Equity that promotes energy efficiency in apartment blocks, businesses and public administration, has obtained the B Corp certification reserved for companies that operate according to the highest standards of social and environmental performance, responsibility and transparency.

Snam gives great attention in promoting diversity and inclusion, with new objectives and initiatives relative to gender parity, including the addition of two new appendices to the Diversity & Inclusion Policy, the first on gender parity and the second on the personnel selection process, as well as the creation of the Snam Inclusive Language Manifesto. Snam's efforts were awarded by inclusion for the second year in a row on the Bloomberg Gender-Equality Index (GEI). Furthermore, Snam was confirmed in first place in the "networks, energy, water and distribution" category, in the Top Job - Italy's Best Employer 2021/2022 ranking.

From 2020, a year that created upheaval in the world due to the pandemic, Snam has been distinctive due to its essential role in the energy system guaranteeing the continuity of energy supplies even during the most severe moments of the emergency, also by introducing extraordinary measures. Also in 2022, despite difficulties, for the fourteenth year in a row the company was able to complete its investment projects in line with forecasts.


  • Financial capital

    Financial capital
    • Funding comprising own resources and debt capital
    • Constant investments in upgrading and the function of company assets
  • Infrastructural capital

    Infrastructural capital
    • Network of gas pipelines for the transmission of natural gas in Italy
    • Storage plants and regasification plants
    • Plants for the production and injection into the network of biomethane
    • Distribution network of gas for vehicles
  • Intellectual capital

    Intellectual capital
    • Information systems, company processes and procedures aimed at assuring safety in infrastructures and efficient business management
    • Know-how and technological innovation
  • Human capital

    Human capital
    • Optimisation and development of people
    • Safety culture
  • Relational capital

    Relational capital
    • Partnerships and long-term relations with the main stakeholders (clients, suppliers, shareholders and lenders, egulatory authority, local associations)
    • Collaboration with institutions, regulatory entities, local and erritorial administrations
    • Commercial agreements with companies operating on the ational and foreign energy markets
    • National and supranational working parties
  • Natural capital

    Natural capital
    • Energy resource (natural gas)
    • Natural areas involved by the passage of gas pipelines and on hich the plants stand


External context

Evolution scenarios of the energy mix, the evolution of the sector and social-economic dynamics

External context
evolution scenarios of the energy mix, the evolution of the sector and social-economic dynamics
Principles and
control system
and coordination
  • Financial capital

    Financial capital
    • 2,532 million euro in economic value generated
    • 1,634 million euro in economic value distributed
    • Distribution of economic value to Group stakeholders
    • Financing dedicated to environmental sustainability projects
  • Infrastructural capital

    Infrastructural capital
    • 32,625 km of gas pipelines
    • Target: to develop 250 refuelling stations for methane as-powered cars
    • 14 biomethane connection contracts
    • Increased value of company assets
    • Diversification and innovation in the Group infrastructures
    • Diversification of the source of natural gas consumed within ational borders
    • Diversification of the national energy mix
    • Secure procurement
  • Intellectual capital

    Intellectual capital
    • Management and certification systems obtained by Snam and subsidiaries - extended certifications ISO 9001, ISO 14001 and OHSAS 18001 to include Snam4Mobility and Cubogas
    • Quality of service supplied in compliance with the standards
    • Greater efficiency of processes and control throughout the entire value creation chain
  • Human capital

    Human capital
    • 107,771 hours of training provided
    • 7 injuries involving employees and contract workers - 'Zero injuries' prize, 1550 employees rewarded
    • People motivation and increase in their competences
    • Consolidation of the safety culture for all employees and in all operative contexts
  • Relational capital

    Relational capital
    • Partnerships with SEAT, ENI, API, State Grid International Development and Beijing Gas
    • Relations with ARERA - 12 responses to consultation documents
    • Acquisition of IES biogas, Enersi Sicilia, TEP and CuboGas
    • Maintenance of a good company reputation, in line with the company vision, values and mission
    • Consolidation of relations with the main Group stakeholders and regulatory entities in the natural gas sector
  • Natural capital

    Natural capital
    • 7.9 % reduction in natural gas emissions on 2016
    • 227 km environmental restoration performed
    • 445 km environmental monitoring
    • 1,651 km of network inspected with smart pigs
    • Mitigation of negative environmental impacts
    • Sustainability of the business activities and attention paid to the community and territory
Page Alert
05 February 2023 - 19:03 CET