Italy's plans to double domestic production of oil and gas to slash its energy bill and boost economic growth face stiff headwinds from the kind of chronic red-tape that has left one major project paralysed by 11 years of paper shuffling.

In a draft copy of a new national energy policy, seen by Reuters, the government said it wants to take hydrocarbon output to 14 percent of overall energy needs by 2020 from the present 7 percent, mobilizing investments of around 15 billion euros ($19 billion).