Prosumer is a term that has been cropping up online a lot lately. But what does it mean, and what is a prosumer, exactly? The word is a neologism, a combination of producer and consumer, and it was invented by the American futurologist Albin Toffler in 1980. But today prosumers have become some of the most important figures in the energy transition, as they help both to reduce consumption and to produce renewable energy. How? How to become both a producer and a consumer It's very simple: prosumers use a small-scale plant to produce energy from renewable sources, for instance sunlight, wind, or the movement of water masses. This variety of sources is important. There’s often a false belief that prosumers only use photovoltaic systems: in actual fact, there are also options such as small wind turbines, home charging stations for recharging electric cars, or any other method that helps generate (and use) green energy. The energy produced, to be precise, can be self-consumed by those who have produced it, or fed into the national grid and used by other people (who, of course, pay for it). It’s a great idea, which is also supported by financial incentives. Several individual countries are using it in order to make people increasingly involved and to decentralize energy production, by distributing it throughout the country. In this way each of us can also gain a better understanding of how important it is to use energy wisely, with less waste and greater respect for the environment. And there’s also a personal benefit: saving energy leads to lower utility bills, and, if more energy is produced than consumed, then there may even be some profit. Thanks to prosumers, Renewable Energy Communities (RECs) are also becoming more widespread. These are groups of people, companies or public entities that together produce, consume and manage energy, with local facilities to which the whole community is connected. Key players in the energy transformation Prosumers are already active. According to the Italian National Agency for New Technologies, Energy and Sustainable Economic Development (ENEA), by 2050 there will be more than 250 million prosumers in the European Union, and they will be producing energy with small domestic systems or in energy communities. And together they will generate almost half of the total renewable electricity (45%, to be precise). And so, thanks to prosumers, more and more renewable resources are being used, and CO2 emissions that cause global warming will thus be reduced. Furthermore, being part of a community makes the bonds between people in the area stronger and consequently creates social benefits. Last but not least, there’s a benefit to the economy because, in addition to the income earned by each citizen prosumer, costs can also be streamlined, and this is good for everyone.