Article in Journal

Climate Notes: “Sector Coupling” – Approaches and Implications of the Decarbonisation of the Energy System

Sophia Appl Scorza, Johannes Pfeiffer, Alex Schmitt, Christoph Weissbart
ifo Institut, München, 2018

ifo Schnelldienst, 2018, 71, Nr. 10, 49-53

The German Climate Action Plan aims at reducing greenhouse gas emissions in Germany by 80 to 95 percent by 2050 compared to 1990 levels. Even if a great deal of uncertainty still prevails as to how this goal can be achieved in concrete terms, it is clear in any case that the use of renewable energies must be considerably expanded not only in the electricity sector. In this connection, the term “sectoral coupling” has become increasingly important in recent years in energy policy discussions in Germany. This article takes a closer look at this topic: First, it defines and delimits the notion of sectoral coupling before looking more closely at individual sectors and key technologies and discussing current cost estimates of the decarbonisation of the energy system.

JEL Classification: Q300, Q420, Q500, Q520

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ifo Institut, München, 2018