Decentralised energy is the energy produced close to where it will be used, rather than at a large plant elsewhere and sent through the national grid, focusing mainly on local energy needs. It reduces the transmission losses and lowers the carbon emissions. Although expensive in terms of its infrastructure, decentralised energy brings economic benefits to the consumers, offering more stable and competitive prices. Also through decentralising the energy system within a country, the security of supply is increased nationally.
Decentralisation of energy is currently described as one of the biggest goals within the EU energy policy making. Together with renewable energy sources, they are described as a “perfect match”.[1]