Iceland — Engineers near Reykjavik have built an energy storage system that freezes and thaws massive blocks of ice using surplus renewable power, releasing stored cooling capacity to reduce grid strain during peak demand.

 

Iceland — Engineers near Reykjavik have built an energy storage system that freezes and thaws massive blocks of ice using surplus renewable power, releasing stored cooling capacity to reduce grid strain during peak demand.

The system uses off-peak electricity to freeze large insulated ice reservoirs, then draws on that stored cold to reduce cooling loads in nearby industrial facilities during periods when the grid is under the most pressure. Engineers monitor ice reservoir levels from a control room, timing the freeze-thaw cycle to match daily demand patterns.

Industrial cooling demand often peaks at the exact moments when the broader grid is already strained by other high-use activity, compounding pressure during critical hours. Engineers describe the ice storage approach as elegantly simple, shifting cooling energy consumption to off-peak hours without requiring any change to the facilities actually using that cooling.

Officials say the system has already measurably reduced peak demand strain at the pilot facility since installation. With the concept proving cost-effective, officials are evaluating similar ice storage systems for other industrial cooling applications across the country.

Source: Guðrún Björnsdóttir Ólafsson, 2026

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