In an integrated energy system, energy supply and demand sectors interact more closely in order to facilitate a reduced energy demand and the quick scale-up of renewable energy sources. Based on the interplay of generators and consumers in a well-connected energy infrastructure, inefficient fossil-based technologies and back-up capacities can be phase-out more swiftly. An advanced integration of sectors’ energy demand prevents societal costs of stranded assets. It allows for the use of existing infrastructure more efficiently, harvesting the potential of demand-side response and other flexibility options.
Energy infrastructure is a key component in Europe’s fight against climate change. Investments must exclude any continued or new support for infrastructure based on fossil fuels or incompatible with nature protection.