Two ideas: A) The difference between the terms נפש האלקית ונפש הבהמית and the terms יצר טוב ויצר הרע. Basically the נפש is the מוח ופנימיות while the יצר is the לב וחיצוניות. Also the יצר is the צורה that must be destroyed while the נפש is the פנימיות and should be transformed to קדושה. B) Klipa and Kedusha. קליפה means peel or shell that covers the fruit inside. The fruit is the Purpose and the ביטול to that purpose; while the קליפה covers and makes it impossible to access the fruit and purpose and Bittul inside. The difference between גלות ושינה was also touched on.
