Sector coupling

Sector coupling or sector integration is a concept in which electricity produced from renewable energy sources is used to substitute fossil fuels within all end-consumption sectors, including transport, industry, and residential heating/cooling. Key goal is the integration of large-scale renewable electricity, mainly from wind and solar power, by increasing its direct use or indirect application through transformation into a suitable energy carrier, for example heat, gas, and liquids. Sector coupling supports the creation of 100% renewable energy systems, adds flexibility and improves storage and distribution options to the use of renewable electricity.

Sector coupling and system integration are regarded as key concepts in the global energy transition, as it makes the adoption of renewable energy sources more efficient and cheaper. The sector coupling concept has also been further developed into fully integrated energy systems. These are also called smart energy systems (not to be confused with the Smart grid approach, as the latter only refers to the power sector). A smart energy system is defined as "as an approach in which smart electricity, thermal and gas grids are combined with storage technologies and coordinated to identify synergies between them in order to achieve an optimal solution for each individual sector as well as for the overall energy system."