Good afternoon. This is the Chorus Call conference operator. Welcome, and thank you for joining the Italgas 9 months 2022 results conference call. As a reminder, all participants are in listen-only mode. After the presentation, there will be an opportunity to ask questions. Should anyone need assistance during the conference call, they may signal an operator by pressing star and zero on their telephone. At this time, I would like to turn the conference over to Ms. Anna Maria Scaglia, Head of IR of Italgas. Please go ahead, madam. Hi, good afternoon. Thank you. Today, we will walk you through Italgas nine months results. I'm here with Mr. Paolo Gallo, our CEO, and Gianfranco Amoroso, our CFO. We will address any questions you might have at the end of the presentation. Please, Mr. Gallo, go ahead. Good afternoon to everybody, and welcome to today's presentation. I will follow the presentation that was sent to you, and is available on our website. The results for the first nine months include for the first time, after a long journey in getting the closing, the DEPA Infrastructure. It has been consolidating for the month of September only. We have a positive impact on earnings regarding the month of September of DEPA of around EUR 3 million. I'm on slide number 2, on page number 2. Operating performance of the Italian part of the business in the first nine months are fully in line with the guidance that we provided to you in June. If we take a quick look on the revenues. Revenues were benefited by the still ongoing rapid growth that was already presented in the first six months. As we said, we have included revenues of DEPA for the month of September. Let me say that the element, probably the main element more important is the strong contribution from our energy efficiency company. Thanks to this, we have been able to even more compensate the negative impacts coming from the regulation, and I am referring to lower WACC and X-factor. I would like to remind you that in the first nine months, these two elements contributed negatively for EUR 47 million. Regarding the cost side, the reduction is significant. We will go through in detail. There is an increase in costs, of course, relevant to the energy efficiency activity that we have. I just mentioned the increase on the revenues. While the remaining part of the cost on a like for like basis continued to decline. Overall, our cost of debt, considering also our cost of debt, we were able to achieve in terms of adjusted net income growth of about 5.5% in the first nine months of 2022 compared to the first nine months of 2021. If we change and move to slide 3. CapEx were down about 11% in respect of last year. That is fully in line with what we have announced and was the performance in the first semester. Differently from last year, that is quite significant. Gianfranco Amoroso will give you more details and more flavor about that. We had a significant negative contribution coming from the working capital. It's a temporary one, but it's significant. Gianfranco will tell you the amount, and will tell you when we expect to recover that increase in net working capital. As a result of that, and as a result of the fact that we made a payment on the first of September for the closing of DEPA Infrastructure, our debt will increase in respect of of last year and is slightly above EUR 6 billion. Let me just recap on, and is on the following page, which is the current situation about our physical perimeter. For the first time, we include the Greek operations. Our overall length now is up to 82,000 kilometers, more than 7,000 are coming from Greece. Of course, the remaining part of Italy, there is a slightly more in respect of that. Greece, in terms of network, represent around 9% of the total. Delivery points were up to 8.3 million delivery points. Nearly 600,000 is the recent contribution of the Greek operation. If we take a look on the investment side, that is shown on page 5. We invested almost 500, a little bit more, nearly EUR 550 million. EUR 66 million less than last year, and for the first time, we included also the contribution of Greece, that for the months of September is only EUR 9 million. As I highlighted already in June, for the first six months, the effort of digitization remained extremely strong. We invested 156 million euros with an increase of 3%. Somebody may say, "It's not a strong increase," but if we freeze the contribution of the meters that are in reduction in respect of last year, the spending increase in digitization is 20% more over last year. If we consider the same amount that we spend in 2022 of meters, that is the increase that we recorded in digital investment. Development and repurpose of our network still attracts the majority of our investment. We have added nearly 300 kilometers of new pipelines, and we installed nearly 300,000 smart meters, but that includes the replacement of the faulty ones. Of course, the amount that we invested in Sardinia is in reduction in respect of last year, also because we are nearly close to the end of the investment. The good news is that we installed 11 small-scale LNG storage year to date, in addition to what we have already installed last year. Let me take a look, and let me describe to you the significant progress that we have made on scope one and scope two emissions and energy efficiency. The overall emissions relevant to scope one and scope two are down in respect of the same period of last year by 18%, more than 18%. The main driver of this reduction is the gas leaks. We registered, in the first 9 months, a significant reduction in terms of absolute numbers of gas leaks. Now understanding the fact that the number of kilometers inspected increased for the same period by 18%. On the reason why we are, we registered such a decrease is because if you look at the gas leakage rate per kilometer surveyed, the number dropped to 72.5 standard cubic meter per kilometer. That is down on 31% in respect of last year. How we reached this significant target? Well, in the first quarter, we decided to attack the area that according to our evaluation, based on the data that we collected in the previous year, we expected more leakages. We have already used data to prioritize our leakage research. For that area that we expected rated leakage, we also put a significant effort to reduce either the localization time needed to find eventually potential leakages, but moreover, we put a lot of effort to reduce the time for repair once the leakage has been found out. In the second and the third quarter, we have accelerated the number of kilometers, and that is the reason why in nine months we were able to record such a significant increase in terms of kilometers respectively. By the year-end, we expect that the percentage of our network inspected will pass the 100%. Some area will be inspected twice during the last period of the year, during these two last months, so November and December. Generally speaking, if we look at the gas leakage rate, we are below 0.1%. That is a remarkable, impressive, impressively low number. The other contribution in terms of reduction of greenhouse gases emissions came from civil industrial gas consumption. We will talk in a moment because that is a result of the efficiency that we were able to bring into this activity, and also by our vehicles. Thanks to the less kilometer traveled, we will see in a moment, that is a result of the extensive use of digital application that reduced the need of intervention, of physical intervention by our colleagues. Let's look at the net energy consumption that is shown on page 7, that was down by 15%. Here, the major contribution is the reduction of the gas used to preheat the system. Of course, that is the, As a consequence of this reduced energy, reduced amount of gas consumed, is the result of less greenhouse gases emission that we have seen before. That is fully in line, and probably the slight acceleration, of the goal that we have announced in our strategic plan, that show -27% in 2028, -33% in 2030. We are already down by more than 15% in respect of 2021, that it's even bigger in respect of 2020. Regarding the electricity consumption, also this number is down, mainly thanks to the lower consumption of Italgas Acqua. That is a clear demonstration that an energy efficiency model can be applied quite easily to different industry. We used our energy efficiency approach to be also brought to one of the area where the energy consumption is significant, and we were able to significantly reduce the consumption. As I said before, vehicles consumption reduction reflect a number of kilometers lower than the previous year traveled, and that is thanks to the extensive use of digital application. Now, let's get into numbers and the full results. If we are facing the 23rd quarter of continuous growing, and the net profit, as it is shown in this page, grows by more than 5%, 5.5% in respect of last year, the net profit after minority. That despite the negative impact from the regulation, as I already mentioned, EUR 47 million, thanks to the higher revenues driven by RAB and other tariff components, and thanks to the higher contribution of ESCO that represent year to date above EUR 70 million. Finally, thanks to DEPA. We will look at the numbers in detail in a moment. Overall operating expenses increased by EUR 45 million, driven by our ESCO activity. EBITDA was up by higher CapEx. Tax rate, it's a matter of explanation that will be given to you by Gianfranco in a moment. That the result is the one that I have already mentioned to you. Let me give more details about revenues and costs. The page 9 shows the increase of revenue in respect of last year. We recorded in the first 9 months EUR 47.1 million less revenue for WACC contribution and X-factor contribution. It's about, let's say, EUR 40 million, a little bit more than EUR 40 million by the WACC, and the remaining is the X-factor. We had a positive contribution of EUR 13 million, mainly driven by the RAB increase. Thanks to the investment we made in the previous year, there is an increase of the revenues by EUR 13 million, mainly RAB and Sardinia. We book around EUR 7 million of additional regulated revenues. You can see that out of the 6.8, nearly EUR 7 million, EUR 6 million are linked to the incentive for emission reduction. If we connected the dots that I mentioned to you, we inspected more kilometers, we reduced the time to make the repair, we reduced the CO2 emitted, the research. We had EUR 77 million more in revenues coming from energy efficiency business, that has seen an acceleration in the third quarter. Finally, you can see that, the contribution of our Greek operation for the month of September has been equal to EUR 13 million. I have already mentioned the negative impact of the regulation. I should also add a much smaller contribution for the meters replacement, considering that there are very few left, and that is the explanation of the drop of more than EUR 7 million in revenues. In page 9, as always, you have a different view of the different revenues and the explanation that I gave you just a moment before. Before giving the floor to Gianfranco, let me spend my last comment on the operating expenses. On a like-for-like basis, that is the most important one, we have been able to demonstrate another significant cost reduction, more than EUR 60 million reduction that represents 6.3%. Of course, we have recorded a significant increase in the ESCO cost that you should connect to the revenues. If you made your math, the margins that we have recorded for the activity in the energy efficiency is slightly above 18%, so it's between 18% and 19%. Quite an interesting and significant margin. We recorded based on declining of the cost of the energy efficiency certificate, we recorded EUR 1.1 million less. Finally, as a contribution for the cost, we have also the cost of the Greek operation for EUR 4.5 million. On page twelve, there is the other picture of the cost divided between distribution and other activities, divided between net labor cost, net external cost, and other costs. You can see also the line relevant to DEPA Infrastructure that for the time being, we will keep it aside just for your convenience to consider the Italian activities and to compare them with the previous year, considering that DEPA Infrastructure from now on will be fully consolidated in our profit and loss account. I will now leave the floor to Gianfranco for the remaining part of the presentation. Gianfranco. Thank you, Paolo. We are now on slide 13, considering the EBIT evolution. In the nine months, EBIT amounted to EUR 455 million, marking an increase of 5.6%. This is the result of the following elements: an increase in the EBITDA of our Italian perimeter of about EUR 28 million as a result of the variance of revenues and OpEx already explained by Paolo before. Almost EUR 10 million higher D&A, mainly related to the network and driven by the CapEx executed in the last twelve months. DEPA incremental EBIT contribution of EUR 6.5 million. I remind also the EBITDA contribution of DEPA was EUR 8.5 million in the month. Moving now to slide 14, commenting adjusted net profit. Adjusted net profit after minorities reached EUR 288.6 million with an increase of 5.5%. Net adjusted financial expenses marked the level of EUR 41 million, only EUR 1.5 million higher than last year, despite the current volatility in the financial market, thanks to our debt structure. The increase of the average gross debt has been balanced by a lower cost of debt. On the positive side, contribution from associates increased by EUR 1 million, driven mainly by Gaxa capital gain following the disposal of majority stake of the company. Finally, we accounted for EUR 112 million of income taxes, marking an increase of EUR 6 million due to a higher taxable income, but with a tax rate below 27%, a touch below last year's figure. Now looking at the evolution of the cash flow. Cash flow from operations was close to EUR 455 million, covering the majority of the CapEx executed in the nine months, but with a gap of EUR 100 million. That is a consequence of net working capital evolution that brought a negative contribution of almost EUR 150 million. Let's see it more in details. Almost no contribution from billing seasonality due to pass-through items and higher Superbonus and Ecobonus receivable for EUR 80 million, higher White Certificates receivable for EUR 70 million. The impact of the pass-through items is linked to the bonus gas and other components of the tariffs that have been put in place to ease these pressures on end users. Due to the mechanism, there is not a counterparty risk, since the counterparty is CSEA, a public entity, but a temporary absorption of working capital. Net CapEx, reduced in line with our guidance, brought a cash outflow of EUR 555 million, explaining a free cash flow at the end of September of -EUR 100 million. The financial investment and disposal include the net impact of the cash outflow to acquire DEPA Infrastructure, the stake in Picarro, and the deconsolidation of Gaxa debt. Taking into account the dividends outflow, all this resulted in a net debt increase of EUR 1.1 billion. As anticipated for the financial expenses evolution, let me now make an update of our underlying debt structure at the end of September. We are on slide 16. In the nine months, we have drawn a new ESG loan of EUR 250 million. We have signed a new EIB loan of EUR 150 million, 18 years tenure, supporting energy efficiency project, and we have signed also a new financial package with DEPA as a borrower, securing a long-term support for its development plan. The current split of our debt is fixed at 89%, floating 11%. The liquidity position at the end of September was EUR 350 million following DEPA payment. As you can see, our debt maturity profile remained very comfortable. Next bond repayment is due in 2024, together with EUR 500 million of bank loans. Despite the current volatile financial market, we continue to rely on one of the lowest average cost of debt of approximately 0.9%, a very limited exposure to interest rate volatility, thanks to the fixed percentage and the still long average tenure. Finally, Moody's confirmed its rating last September. Moving on to the balance sheet on slide 17, net invested capital amounts to almost EUR 8.5 billion, with an increase of almost EUR 1.4 billion compared to the end of 2021, mainly related to the consolidation of DEPA Infrastructure. Fixed capital increased by EUR 960 million, mostly related to DEPA. On the liability side, consolidated net debt was EUR 6.1 billion, including the IFRS 16 impact of almost EUR 70 million, with an increase of EUR 1.1 billion compared to year-end of 2021. I'm giving now the floor back to Paolo. Thank you, Gianfranco. I would like just to close this session to open the question, the Q&A, just with few remark. First of all, finally, you see the infrastructure that contributes for only one month, but at least you start appreciating the contribution of our Greek operation. In the Italian activity, I mean, the only point that I would like to remark is the ESCO growth that has been growing in respect to the first six months with higher speed. We continue to demonstrate our ability to reduce cost. The ESG performance, according to me, are absolutely outstanding, considering the reduction that we were able to bring in respect of the first nine months. Guidance, we confirm the guidance that we have announced, in June. I will let open the floor for questions. We are here to respond to any question or curiosity you may have. Thanks. Thank you. This is the Chorus Call conference operator. We will now begin the question and answer session. Anyone who wishes to ask a question may press star and one on their touchtone telephone. To remove yourself from the question queue, please press star and two. Please pick up your handset before asking a question. Anyone who has a question may press star and one at this time. The first question is from Javier Suarez with Mediobanca. Please go ahead. Hi, everyone, and thank you for the presentation. I have 3 questions on my side. The first one is on the company's ability to deal with higher inflation. I think that you mentioned during the presentation that the EBITDA margin from the ESCO that are giving a very good contribution to the growth of the company, it stayed at 18%, which is the EBITDA margin that you saw during the first half of the year. I was wondering if you can elaborate on the capacity of Italgas of maintaining profitability down the road in a scenario of higher inflation in that service related activity. That would be interesting. The second question is on Greece. Greece should be an area of significant CapEx allocation for the company going forward. Can you give us an update on the discussion on the new regulatory framework that should be in place from 2020, 2023, where we should have a clarity on allowed return, allowed OpEx, and also CapEx plan there? Related to Greece as well, you can update on negotiations with Eni for the possible acquisition of the minorities in the subsidiaries there. The third question is on the overall capital structure of the company. Obviously, the cost of financing for Italgas is very competitive. Interest rates has moved very quickly. The question for you, I guess, top down is do you see a necessity for Italgas and in general for the sector to reconsider capital structure in a scenario in which cost of capital and interest rates are going to be higher down the road, and that has any implications for your business plan? Thank you. Okay. Let me talk about the first question. If I well understood, how we deal with high inflation in the energy efficiency activity. Let me say that, we are acting as a general contractor. Because of the limited time that we have in front of us, to complete all the activity. Excuse me, this is the operator. We cannot hear you. Okay. From the main room. Now we can hear you. Let me restart. If I well understood, the question is how we deal with high inflation in the energy efficiency activity. We are acting as a general contractor, as you know, so the majority in considering the timeframe between now and let's say one year from now because our goal is to complete all the activity in the last quarter of 2023 to complete all the intervention on the so-called Superbonus. We have already placed all the contracts, so we should know the majority of them. We will not have any surprise in front of us considering, and therefore I would probably guess that the margin will remain in the range between 18%-19%. On the other side, high inflation, especially high inflation in the energy prices, because we see more inflation in the energy prices than not in the material. High inflation on the energy prices are pushing different industry to be much more effective in the energy efficiency improvement, in the energy efficiency action. From that point of view, we see more opportunity for us, and we can bring to them what we were able to do in a very few period of time, few months in Italgas. The numbers that we have seen before about the reduction in the energy consumption can demonstrate how we can be very efficient in reducing gas consumption and electricity consumption. Going back to the point, I didn't see impact regarding very much impact. We have already, let me say, accounted for because of the contract that we have already placed in the energy efficiency business. Regarding Greece, two questions. Well, we have already submitted to the regulator the development plan of the three DSO. Those development plan are already in consultation right now. We should receive feedback from different stakeholders quite soon. In the meantime, we will start talking with the regulator about the WACC, because that is also part of the new regulatory period that will start the first of January 2023. We have carried out studies with external consultant about building and demonstrating what according to us should be the new WACC. We are going to of course, to share those studies with the regulator. Once that we will receive the result of the consultation from the regulator back, we will then elaborate the so-called business plan that is not only the development of the tax allocation, but also the, all the other costs in order to let the regulator to establish the tariff. We are on track. We would like, of course, to be more quickly, and we will do it as soon as the consultation on our development plan will close. Regarding Eni, it's not a matter of negotiation, just a matter to complete the different steps. We are not in a hurry, both parties, so we should complete this acquisition in the next weeks. Regarding the last question, capital structure, I will let Gianfranco answer it. Yeah. About the point you raised, Javier, about our cost of debt going forward, I do not see our cost of debt growing as if somebody could expect looking at the current situation of the market because of the structure of our debt, considering that we have a fixed portion more than and also a tenor of 6 years, our cost of debt is very low in terms of adaptation to the market condition. On the other side also, the cost of debt embedded in the WACC formula is very low to adapt to the current market condition. Matching the duration of our debt with the mechanism implied in the formula, we can say that we don't see in our business plan any need of reassessing the cost of debt that we have planned. Thank you. Next question, please. The next question is from Stefano Gamberini with Equita SIM. Please go ahead. Good afternoon, everybody. A few questions also from my side. First of all, regarding the macro scenario, the situation and the risk related to the unpaid bills in the energy sector, in particular in the gas sector during next year, what could the regulator decide if there is a significant growth in the unpaid bills in the gas sector during next year? What are your solution for this problem and welcome some proposal for to face this problem. The second, regarding the situation with the new government, there were some delays in the tenders for the gas tenders. What you could expect right now after the approval of competition law if some other measures could be introduced, or are you asking the government. The third one, just the usual update on the situation on gas tender now in place or from the regulator that are coming from the regulator, as well as the M&A situation. Are there some deals that could arrive, or at the end also this market is frozen? Thanks. Thanks, Stefano, for the question. Regarding the paid bills, I mean, you have said if the regulator will decide, you should ask the regulator. Honestly, I don't have the answer. We have already take our part, as it was explained by Gianfranco few minutes ago. We have an increase, significant increase in the net working capital. There is no, of course, counterparty risk because we move from the commercial company to CSEA, that is a government entity. Honestly, I don't have. You should raise this question either to the regulator or to the commercial company to ask what could be the solution. Honestly, I don't have anything to tell you about that. Similar on the second question, the new government and the tenders. We have not started to talk with the relevant person in the ministry about the gas tender. I think the competition law has been already issued, so let's see the results. As I have anticipated already in July, we should see some signal in the next month, so you cannot have an immediate signal about something that will change the speed of the tenders. Now I'm moving to the third question. As for this year, we have only one tender that we are going to submit. That is the offer that we are going to submit. That is the Rimini. Rimini, where we are not present, and that is the only tender that remains open, and it should be, unless there will be some delay, additional delay, as of today, is expected the submission of the offer by year-end. Regarding other M&A, I think, we have announced the acquisition of Fiamma 2000 in Sardinia. We are expecting the closing in the next weeks. That is the only thing that is already new. It's been already announced at the market when we signed the SPA. That, for us, it's also an important acquisition because it will complete our Sardinia strategy, covering the last of the biggest cities in Sardinia, because that covers the Olbia distribution. Olbia was the only one, big cities in Sardinia that was not covered by our operations. Thank you. Thanks. Next question, please. The next question is from Bartek Kubicki with Société Générale. Please go ahead. Thank you very much, and good afternoon. Two areas of discussion I would like to open this. First, on CapEx, namely, if you can tell us what CapEx inflation you are seeing and whether we can confirm that all this inflation will be passed on to RAB, meaning the regulator will approve all the increased CapEx versus, for instance, your plans to one or two years ago, and consequently, whether you think this inflation will actually have a positive impact on your next CapEx plan you will announce. On the other hand, you will also speak about CapEx. Do you think there are any risks that the highly elevated gas price could somehow slow down or rationalize or cut on gas distribution CapEx investment both in Italy and Greece? That would be the first thing. The second thing on the allowed WACC. On my estimate, there will be no reset of the allowed WACC for FY 2023, if you look at the mark to market and the threshold imposed by the regulator. I wonder if there is anything else, any sort of thing you can somehow negotiate with the regulator that, look, I mean, the yields have massively increased, the cost of financing, at least on the spot market, has massively increased. Maybe we can renegotiate the formula for FY 2023 to capture that increase. In a similar fashion, you mentioned you described perfectly how your cost of debt will gradually and slowly increase. Although if we look at the regulatory framework in FY 25, you will most likely have a cut in the allowed cost of debt, so consequently the gap will widen. I also wonder if there is anything you can renegotiate with the regulator, saying that the current cost of debt formula is too much focused on historical debt and whether, you know, this gap between actual potentially, assuming yields stay where they are, the actual cost of debt and the allowed cost of debt, sort of the underpayment, whether this could also have a negative impact on your future investment. Thank you very much. Quite complicated questions. Let me say mainly related. On the first one, on the CapEx inflation, you know that the way, if I well understood, if not otherwise interrupt me, I mean, that is not a decision. The deflator that applied to the RAB, I think is going to be applied starting from January 1, 2023 on our RAB at the end of 2022, is 4.1%. As you know, there is a delay as well as the inflation on the OpEx, but we are capturing, let me say, this inflation in our RAB. Our RAB will increase by the amount that I told you about the deflator. If I may, because what I meant precisely is the inflation in CapEx. Let's say the steel prices are up, whatever, 50% and your pipe costs are up 50%, whether everything will be approved by the regulator and will be added on RAB or actually in the high inflationary scenario, you can somehow understand that. Okay. No, no, I understand. Okay. No, no, I understand. Okay. We stop you, otherwise you put too many and I cannot able. Okay. Okay. The point is very clear, and probably I was not. I thought that you were talking about deflator on the RAB. Let me say, first of all, we have not, and I'm underlining three times, we have not experienced such big inflation in our contracts. First of all, I don't have that problem. In other terms, whatever activity I'm doing right now, intermediate or material or other activity, we have not experienced such big inflations like you mentions. You need to look at details of what are activity we are doing. They are not so related to the energy consumption. The second one is, if the investment is relevant to the RAB, so to our network, it will flow into the RAB. We don't have that problem. We don't have the problem of inflation, and we don't have the problem to have a recognition from the regulator. As long as our investment respect the rules of our regulation, they will flow in the RAB. You have mentioned another element that is linking, I don't know, the inflation to our future investments. Honestly, what we do when we plan our investment is that we plan our investment based on the need on the network, based on the need of the digital transformation. We still have, as I told you, not experienced such big inflation on our investment. The last one, it's true that we have always said that we will not have any trigger for 2023 WACC. WACC will remain the same. I don't like, honestly, really, to renegotiate or to go and renegotiate a structure, a formula that has been issued by the regulator. Because today I'm negotiating to increase, but tomorrow I'll be asked to negotiate to decrease. I prefer to stick on the rules. Rules are those one. You may like it, you may don't like it, but those are the rules. To me, what is important is that we are consistent with the rule. If the deflator is 4.1%, we apply 4.1% on the RAB. If the rule says that the trigger is not working because we have not passed the 50 basis points, it's not working. I share, for example, your point of view that the cost of the debt is too much linked as an evolution to the past and not to the future. Still, I mean, we have expressed during the consultation period many doubts about this way, but at the end of the day, we need to accept the rules today. I'm not, and I will not encourage anyone of our, my organization to try to renegotiate something that has been agreed and approved and put on the market. Those are the rules of the regulator. Now, for example, on the inflation, we have been. We didn't have in 2022 any significant increase both on the RAB and zero on the cost. We will recover because there is a time delay. My point to you is very simple. I prefer to stick to the rules and to be consistent with them. That is the basis for a regulation that will be recognized also as a stable one over the years. Okay, this is super clear. One maybe question which was not answered, on your view, whether high gas prices could somehow put at risk future investment into gas distribution, because if it makes, for instance. Oh, yes, you are right. Mm-hmm. You're right. Thank you. You're right. I put notes, but correct. I will respond to you with a single numbers that has been recorded in the first nine months of this year. Gas reduction in the first nine months has been -2.6%. I will probably say zero, because that is not even being corrected by the temperature, so by the degrees. What I'm expecting, first of all, gas price are going back. We are below 100 EUR per megawatt hour on TTF, so we are going back. Our sector is not is being extremely resilient in terms of gas consumption, and the numbers are demonstrating that. Of course we consider all that, and we think that our best reaction to what you said is to be as much efficient as we can, and we have demonstrated to be able to do that. Because always remember that this efficiency that we are recording in our cost, sooner or later, will be passed to the final tariffs. Okay. Very clear. Thank you very much. Next question, please. The next question is from Emanuele Oggioni with Kepler Cheuvreux. Please go ahead. Good afternoon, everyone, and thank you for taking my questions. The first one is on Greece. Maybe was already partially answered, but I'd like to understand better what is your feeling on the new regulatory framework in Greece to be set up by the Greek regulator by year-end to be applied from 2023 onwards. We could expect a confirmation or increase in the allowed WACC or I don't know other positive or negative regulatory items, such as RAB-based incentives, et cetera. If you could add more color on that, if it is possible. This is the first. The second question is still on Greece. Included in the DEPA deal, you get also not regulated and non-core assets. I wonder what is the value you paid for this and could be also the value you could extract from them. I suppose you will sell these assets as soon as possible next year. Thank you. Let's start from the regulatory framework. Let me say that the studies that we conducted with the support of external consultants show us that the WACC should increase, then that would be a matter of how much. Considering that the WACC in Greece is different from the Italian WACC because it contains the inflations. Sorry, it went out. Let me start again. As you know, we have problems with microphones. I was saying the answer to the question about the new regulatory framework, all the studies that were conducted separately by the three DSO with the support of external consultants show us that the new WACC should increase in respect to the existing one. Because you need to consider that the WACC in Greece contains the inflation, and therefore with a non-inflation situation like we are in, with increased interest rate cost, that should bring a higher WACC in respect to the previous one. How much that is the matter of discussion with the regulator. You probably know there will also be some discussions with the regulator, or the difference between the revenues accrued and the revenues that were supposed to be accrued, and then it's going to flow into the new four-year tariff. The regulation is different, of course, from the Italian one. Let me say that, as of today, the initial discussion with the regulator, so with the authority, has been extremely positive, and therefore we will see the numbers. For example, one of the first element that we will see is the result of the consultation. So what the stakeholders in Greece are thinking about the development plan that were submitted in the three, by the three DSO. There are, let me say, honestly, some you say non-core assets, and I'm referring mainly to the optical fiber that they have. How much we evaluated them during the offer, I will probably say zero. I mean, it was too small and too difficult to make an evaluation. They will create value in the years to come. I will probably say yes. How much? Honestly, we don't know. We have not. I mean, today, in Greece, we are focusing on what is important for us. That is the development plan, the business plan to elaborate the tariff and the work. Those are the three pillars in which we are focusing ourselves because that will determine the tariff for the next four years. That is more important. Then probably few months down the road, we will probably consider how to extract value for any other non-core asset that these three DSO have in their perimeter of activity. Let me say that there are other potential. We have already helped one of the three DSO, the one that is called DEDA. We have helped them to engineer and then we will soon to build an LNG tank to support the gas distribution in an area where the transportation is not available. So there are already area where we can create value, bringing our knowledge and competence to them. Think about also biomethane can be another area where we can support them, to have, in case there are biomethane plants to be connected to the grid and other things like that. I think that is the area where we will probably create value, bringing what we have already done in our company. Think about smart meters. They have a very limited number of smart meters in operation. We can bring our experience in, and the latest technology about the smart meters. I think that we can create more value, leveraging technologies and competence that we have developed in Italy, to help them to move forward much quicker toward the digital transformation. As an add-on, maybe there are some non-core assets from which we can extract some value. Thanks. Thank you. Very clear. Next question, please. Next. The next question is from James Brand, Deutsche Bank. Please go ahead. Oh, hi. Thanks for taking my question. I just have one question, and that's on DEPA. I remember that you at the time of the acquisition, at least I think I remember. Hopefully, I'm not misremembering. I think you said that you expected to get outperformance in that country, i.e., to outperform your allowed return. Obviously, there's the question as to what your allowed return is gonna be, as just discussed in some of the earlier questions. I was just wondering whether you still felt that you could outperform your allowed return and how long that would take. Then also what the risks are around that, because I probably. I used to cover DEPA actually, but I didn't quite understand, you know, as well as in the Italian market, what the risks are in achieving that in Greece. Maybe you could flesh out if there are any risks, what they are. Thank you very much. Well, it is difficult today to say that we will outperform the current return on DEPA, how much. I can tell you that we will outperform. Honestly, to say the numbers is difficult. It's absolutely difficult to say. Why I'm saying I'm quite sure that we will outperform for the reason that I told you before in the previous question. We can bring technologies, competence. Let me make another example that I did not mention to you. In the first half, second half of September, we have already sent our cars with Picarro technology to start leakage research in the area of Athens. We'll bring outperformance in a sense they didn't even have the technology. They are using older technology. We can help them to reduce the leakages to improve the efficiency of the system. There are many areas where applying our new technology to them, they will outperform the results. You need also to consider the way that is set the regulation. They fix the tariff for four years, and then based on CapEx allocation, development, CapEx based on the investment and based on the costs that were, let me say, agreed between the regulator. The outperformance of the return is based on our ability, as in Italy, to spend, to have costs that are lower than the amount recognized. The sooner that you will be able to do it, then the longer you will keep it for you. Because then after the four years, the regulatory period will go through again to make the account what you have recorded in the first four years. Again, our objective today is to put in place as soon as possible whatever tools that we have in order to make them more efficient already in 2023, in order, like you said, to outperform the return. We are quite confident to be able to do that. We have just started working. Let us working for a few months and maybe we can give you more numbers or flavor once that we have already some experience, some months of experience down there. Thank you. Next question, please. The next question is from Davide Candela with Intesa Sanpaolo. Please go ahead. Hi. Good afternoon, and thank you for taking my question, and I just have one actually. You know, I was wondering if management could share its view about what has been proposed in Europe for to assess the energy crisis. So what basically are the solution for the management if they are going the proper way or not? Thank you. No, I think that's really a general question. As I already said, that probably the best measure unfortunately is not yet used, is the price cap on the gas. The demonstration that was the right measure, that every time that we were close to, then the price of the gas immediately fall. To me, that should be the most effective way. Is the most effective way to reduce not only the gas price, but as you know very well, because of the system of marginal pricing in place, they will immediately have a positive effect in terms of reduction on the electricity price. Unfortunately, at the European level, they have not reached this agreement yet. Hopefully, it will be reached. If it should have been already applied since a few months when our government proposed it many months ago. That is unfortunate, but it's better late than never. I'm still convinced that is the best option that we have as a European Union in order to keep, let me say, a cap on the, not only on the gas price, but also on the electricity price. Thank you. Next question, please. As a reminder, if you wish to register for a question, please press star and one on your telephone. Gentlemen, Ms. Scaglia, there are no more questions registered at this time. I turn the conference back to you for the closing remarks. Okay. Thank you very much for everyone attending. As IR team, we will be available whatever you might need. Thank you and have a very nice day. Bye. Ladies and gentlemen, thank you for joining. The conference is now over, and you may disconnect your telephones.