Italy imported nearly 17 percent of the electricity it consumed last year, the highest percentage since the turn of the century, said Arera, the country's energy regulator.

Domestic production fell nearly 7 percent from the previous year to 264.3 terawatt hours (TWh), due to a sharp drop in thermoelectric production, partly offset by an increase in renewable energy production, Arera's annual report said.

Enel confirmed its leadership in power generation, with nearly 17 percent of the total, down from 18 percent in 2022. It also leads renewable energy producers in Italy with a 22 percent share.

Eni was the second largest producer of electricity with 9.5 percent of total domestic production.

The current liberalization of the electricity market prompted nearly 6 million customers to switch to new suppliers last year, Arera said, adding that Enel remained Italy's leading operator despite its market share falling to 34 percent from 36 percent in 2022.

Gas-fired power plants generated 45 percent of total power generation in Italy, while renewables contributed 44 percent thanks to an increase in hydropower.

Arera also said the average gross electricity price for households increased by 6 percent in Italy last year as the government withdrew incentives and tax breaks introduced in 2022 to calm energy bill increases after Russia's invasion of Ukraine.

The energy authority said German households paid the highest average gross electricity price in the euro zone last year, while Italian consumers ranked second, followed by their French and Spanish counterparts.

(Translated by Luca Fratangelo, editing Claudia Cristoferi)