Molten salt is the most widely used thermal energy storage medium, characterized by its high boiling point and substantial volumetric heat capacity. When energy is required, the molten salt is pumped into a steam generator, where it heats water to produce steam, driving a turbine to generate electricity.

　　A thermal energy storage material is a type of… New materials It can store and release thermal energy on demand. Thermal‑storage devices made from this material not only boast a high energy‑storage density but also offer low cost, ease of transport, and long storage lifetimes, paving the way for a completely new approach to capturing and storing solar energy. The latest materials currently available consist of azobenzene and carbon nanotubes; in addition to inheriting the advantages of fulvalene complexes, they are inexpensive, thermally stable, and even surpass lithium‑ion batteries in energy density.

　　According to the “2020 Global and China Thermal Energy Storage (Materials) Industry Deep-Dive Research Report” published by the New World Industry Research Center, the global thermal energy storage market is projected to grow from US$194 million in 2020 to US$405 million by 2025, with a compound annual growth rate of 15.9%. This expansion in market size can be attributed to several factors, including the rising number of concentrated solar power (CSP) projects and increasing demand for energy‑storage technologies in heating, ventilation, and air‑conditioning (HVAC) applications.

　　 By technology, the sensible heat storage segment is the largest sub‑market.

　　Sensible heat storage relies on the specific heat capacity of the storage medium, which is kept in insulated tanks. The most widely used and commercially deployed thermal storage medium is molten salt, which finds numerous applications in both commercial and industrial settings. Molybdate salts exhibit excellent thermal performance and have been employed in over 50% of operational concentrated solar power projects to date. Moreover, from a economies-of-scale perspective, well‑designed thermal storage technologies are among the most cost‑effective options.

　　 Based on the storage material segment, molten salt materials are expected to grow at the fastest rate over the forecast period.

　　Molten salt is the most widely used thermal energy storage medium, characterized by its high boiling point and substantial volumetric heat capacity. When energy is required, the molten salt is pumped into a steam generator, where it heats water to produce steam, driving a turbine to generate electricity.

　　 The power generation sector is expected to be the largest contributor to market size over the forecast period.

　　Thermal energy storage in concentrated solar power (CSP) plants helps mitigate the intermittency of solar energy and reduces the levelized cost of electricity (LCOE) by extending the duration of energy utilization. TES systems can capture and store solar energy during daylight hours, deferring its release to later periods or boosting plant output under cloudy conditions. As a result, CSP operations can be extended into times when solar irradiance is absent, without the need to burn fossil fuels. Energy storage not only addresses mismatches between supply and demand but also enhances the performance and reliability of energy systems, playing a critical role in energy conservation.

　　 By downstream user segment, the utilities sector is expected to be the largest contributor over the forecast period.

　　Thermal energy storage systems have been integrated into power plants as a viable demand‑side management option. These systems employ ice‑water or chilled‑water technologies to store thermal energy in tanks during off‑peak periods. By shifting customer electricity demand to off‑peak hours, they help meet peak‑demand requirements with fewer generating units. Currently, many utilities offer time‑of‑use pricing to their customers, selling electricity at lower rates during off‑peak periods.

　　 In 2019, the European region accounted for the largest share of the thermal energy storage market.

　　Europe’s CSP installed capacity is projected to grow from 2.3 GW in 2017 to 4 GW by 2030. As European countries strive to meet their carbon‑reduction targets and shift from coal‑fired power generation to renewable energy, rising electricity prices will further bolster the development of dispatchable, storage‑enabled CSP plants.

　　The major players in the global thermal energy storage market include Abengoa Solar (Spain), Burns & McDonnell (U.S.), BrightSource Energy (U.S.), Calmac (U.S.), and SolarReserve (U.S.), among others.