With power-to-heat technology, excess electricity is used to generate heat or cold, which is then used as directly as possible to cover heating or cooling requirements. Interim storage of the heat or cold is also possible and more cost-effective than storing electricity. The power-to-heat method is technically easier to implement than the conversion of electricity to gas (power-to-gas). Power-to-heat technology achieves an efficiency of almost 100%, but the heat or cold generated cannot be used in nearly as many different ways as electricity.