Overview

Thermal storage captures energy as heat (or cold) in materials like molten salt, ceramic bricks, sand, or phase-change materials. It can be used directly for heating/cooling or converted back to electricity using turbines or heat engines.

How It Works

Thermal energy storage works by heating or cooling a storage medium. Sensible heat storage (molten salt, sand, water) changes temperature. Latent heat storage (phase-change materials) uses phase transitions. For electricity storage, excess electricity heats the medium (resistive heating, heat pumps). To discharge, heat drives a steam turbine, Stirling engine, or other heat engine. Key technologies include: molten salt (proven in CSP), sand/rock storage, MGA (Miscibility Gap Alloy) blocks, and pumped thermal (Malta Inc. uses heated and cooled liquids with heat pumps).

Advantages & Disadvantages

βœ“ Advantages

  • Very low cost for heat-only applications ($20-50/kWh)
  • Long duration storage capability (hours to days)
  • Mature technology (molten salt proven in CSP)
  • Can be used for combined heat and power
  • Wide range of storage media available
  • Long lifespan with minimal degradation

βœ• Disadvantages

  • Low round-trip efficiency for electricity (30-60%)
  • Heat losses over time (insulation challenges)
  • Best suited for co-located heat demand
  • Large physical footprint for sand/rock systems
  • Molten salt has temperature limitations
  • Conversion losses when generating electricity

Applications

Concentrated solar power (CSP) District heating and cooling Industrial process heat Grid-scale electricity storage Combined heat and power Waste heat recovery

Cost Breakdown

Storage medium: 20-30% | Insulation & containment: 15-25% | Heat exchangers: 15-20% | Power cycle (turbine): 15-25% | Heating elements: 5-10% | Controls & BOP: 5-10%

Market Outlook

Thermal storage is the fastest-growing segment for industrial decarbonization. Rondo Energy's brick storage and MGA Thermal's modular blocks are driving innovation. The technology is particularly strong where there's co-located demand for heat.