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Perspective

Sector coupling

Biogas

Carbon capture, storage and utilisation

+13

Sector coupling: 7 key examples from energy and industry sectors

Sector coupling is about breaking down silos and enabling renewable energy to flow seamlessly between traditionally separate sectors such as heating, cooling, water, storage, power-to-x, transport, agriculture and industrial processes. Discover seven prime examples from the recently launched white paper "Sector Coupling - Unlocking renewable energy's full potential".

Photo credit: European Energy

Sector coupling - Unlocking renewable energy's full potential

Discover the hidden potential of sector coupling in this white paper, offering valuable insights and practical solutions that can inspire and guide global efforts towards a green and sustainable transition.

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Sector coupling is emerging as one of the most transformative approaches to accelerating the green transition. By linking traditionally separate sectors such as energy, heating, transportation, and industry, sector coupling unlocks significant efficiency gains and resilience, creating new opportunities for sustainable innovation. At its core, this approach breaks down barriers, fostering collaboration and enabling renewable energy to flow seamlessly between systems that were once siloed.

In this article, we explore seven examples from Denmark’s energy and industry sectors, showcasing how digitalisation, energy systems integration, Power-to-X technologies, and more are being deployed to drive energy efficiency, reduce carbon emissions, and boost sustainability. These cases highlight the immense potential of sector coupling in delivering innovative, scalable solutions for a greener future.

Each case represents a step forward in reimagining how sectors collaborate to create a cohesive and sustainable energy system, demonstrating how this approach can make an impact locally and globally. Dive into the examples below and explore the future of sector coupling.

1. Digitalisation: Improving distribution grid performance with data

As part of the green transition, Energi Ikast, a utility company in Denmark, faced increasing pressure on its electrical grid due to the growing number of electric vehicles and heat pumps in residential areas. This rapid electrification put the grid under unprecedented strain, making it essential to identify where reinforcement was needed to maintain stability and prevent voltage issues.

By utilising Kamstrup’s Power Flow and Power Quality Monitoring tools, the utility gained a comprehensive view of the grid. With data from 9,000 smart meters, they were able to monitor the power consumption of individual households, track load on critical components, and detect faults before they caused serious problems. This proactive approach has led to significant time savings, extended the lifespan of equipment, and improved investment decisions for grid expansions, making the solution highly cost-effective.

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2. Energy systems: Large-scale network harnesses surplus heat for district heating

TVIS, a Danish heat transmission company, integrates different energy sectors by capturing surplus heat from local industries and redistributing it through a large-scale district heating network. Based in the Triangle Region, a key industrial area in Denmark, TVIS turns surplus heat from industrial processes and Power-to-X technologies into a valuable resource for local communities. This innovative approach significantly increases energy efficiency and reduces carbon emissions.

By partnering with municipalities and energy-intensive industries, TVIS ensures a steady supply of surplus heat while reducing energy costs and enhancing sustainability. These collaborations support the local economy and promote cutting-edge technologies for heat capture, storage, and distribution.

Currently, TVIS supplies over 7,000 TJ of heat annually to four municipalities, with demand expected to rise by 32% in the next two decades due to expansion and increased building connections. Their model demonstrates how regional cooperation and sector coupling can drive sustainable energy solutions, offering a blueprint for global replication.

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3. Energy efficiency in industries: Heat pumps help Sønderborg Hospital save energy and profit from excess energy

To support the Region of Southern Denmark’s goal of reducing energy consumption by 20% by 2030, Sygehus Sønderjylland hospital is transitioning to a fully fossil fuel-free energy system. Working with turnkey provider Energy Machines and Danfoss, the hospital has replaced its gas and oil-fired heating system with two large-scale electric heat pumps. These pumps recover heat from the hospital’s cooling systems, such as scanners and wards, to meet both process and comfort heating needs.

Excess heat is sold to the district heating utility, Sønderborg Varme, to be used in heating local homes. During winter, when cooling demand is lower, the hospital supplements its own heating through a bi-directional heat exchanger connected to the district heating grid.

This energy-efficient solution is expected to reduce the hospital’s annual fossil fuel consumption by 12,500 MWh and allow it to sell 15,800 MWh of surplus heat to the grid, enough to heat over 930 households. This project is a key step towards greater energy efficiency and sustainability in Southern Denmark.

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4. Energy efficiency in buildings: A living lab for flexible use of renewable energy

Energy FlexLab Ørestad is an innovative project in Copenhagen that tests intelligent energy solutions to improve flexibility in consumption, production, and storage. Developed by IBM Denmark and Andel Energi, the Flex Platform uses AI, IoT, and blockchain technology to connect buildings and electricity infrastructure, optimising energy use across the district. Key participants include Salling Group, Copenhagen Municipality, and TDC NET, whose buildings help stabilise power supply and reduce CO2 emissions.

Launched in 2022, the Flex Platform prevents brownouts, alleviates grid congestion, and generates value from renewable energy sources like solar, batteries, and EV chargers. By offering easy integration with existing systems, the project supports Denmark’s climate goals and positions Ørestad as a global model for flexible energy management.

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5. Energy storage and power-to-x: The world’s largest e-methanol plant

The world’s largest commercial green methanol plant is under construction in Kassø, Southern Denmark, to support sectors like shipping, aviation, and industry in reducing CO2 emissions. Powered by solar energy, the plant will use three 17.5 MW electrolysers to produce 6,000 tonnes of green hydrogen annually. This hydrogen, combined with biogenic CO2, will generate up to 42,000 tonnes of e-methanol per year.

Key partners include Maersk, LEGO, and Novo Nordisk, which will use e-methanol to replace fossil fuels in their operations. Additionally, excess heat from production will provide sustainable district heating for 3,300 local households. This project highlights Denmark’s commitment to advancing green fuel solutions for hard-to-decarbonise sectors.

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6: District heating: From waste heat to green district heating in London’s underground

The Bunhill Heat Network in Islington, London, is an innovative project that repurposes waste heat from the London Underground to provide green district heating. Originally launched in 2012 with a combined heat and power (CHP) plant, the network was expanded in 2016 with the construction of the Bunhill 2 Energy Centre. The centre uses state-of-the-art technology to extract warm air from underground metro tunnels and convert it into heat for local buildings.

This system currently supplies heat to 550 homes and a school, with the potential to expand to 2,200 homes. In addition to providing cheaper, greener heating, the centre also generates green electricity for communal lighting and lifts. The technology can also be reversed in summer to cool the tube tunnels. This unique approach to utilising waste heat serves as a model for similar projects globally.

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7. Conversion of biowaste: Turning residues into carbon capture and green energy

Stiesdal SkyClean, at Agri Energy Vraa in Denmark, utilises advanced pyrolysis technology to convert agricultural residues into biochar and heat, supporting carbon capture and green energy production. Agricultural fibres from a nearby biogas plant are used as feedstock in the pyrolysis process, which decomposes harmful substances like pathogens and pesticides. The resulting biochar is applied to fields, improving soil health, acting as a carbon sink, and reducing nitrogen emissions.

The pyrolysis gas is used to generate steam, which supports the biogas plant’s upgrading process, significantly reducing its fossil energy consumption and improving the overall greenhouse gas footprint of biomethane production. This circular approach supports both emissions reduction and nutrient recycling in agriculture.

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You should consider reading

Biogas
Carbon capture, storage and utilisation
Combined heat and power production
Digitalisation
District energy
District heating
E-fuels
Efficient food production
Electricity grid
Energy efficiency in industry
Green shipping
Heat pumps
Living labs
Sector coupling
Smart cities
Smart energy systems

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+12

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