Cooling large buildings isn’t cheap. Data centers, office towers, and factories rely on cooling systems 24/7. The problem? Electricity is most expensive when cooling is needed the most.
Peak-hour rates drive up costs, and chillers work overtime to keep up. What if cooling energy could be stored and used later? That’s exactly what Chilled Thermal Energy Storage (CTES) does. Instead of running chillers at full capacity all day, businesses store cooling energy at night when power is cheaper. That stored energy is then used during peak hours, cutting costs and reducing strain on the grid.
But without the right storage system, CTES won’t work efficiently. Poorly insulated tanks lead to heat loss, inefficiency, and maintenance headaches.
That’s where FTC Tanks’ Fiberglass Water Tank comes in a perfect fit for CTES.
What’s Inside This Article?
- How CTES works and why it’s gaining traction
- Why FTC Tanks is ideal for CTES applications
- How industries use CTES to save energy and cut costs
Let’s dive in.
Understanding Chilled Thermal Energy Storage (CTES)
Cooling large buildings takes a lot of power. Running chillers during peak hours means higher electricity bills. It also puts pressure on the power grid. CTES helps solve this problem
What is Chilled Thermal Energy Storage?
CTES stores cooling energy when electricity is cheaper and uses it later when demand is high. This is done by chilling water during off-peak hours and keeping it in large, insulated tanks like FRP panel type tanks.
When cooling is needed, the stored cold water is used instead of running energy-hungry chillers.
Here’s how it works:
- Water is chilled to 39–45°F and stored in a cistern.
- During peak hours, it flows through HVAC systems to cool buildings.
- Chillers don’t have to work as hard, saving energy and reducing strain.
How CTES Helps Save Energy
The idea is simple: Make cooling energy when it’s cheap. Use it when it’s expensive.
- Shifts Cooling Load: Cooling energy is stored at night when electricity costs less.
- Reduces Peak Demand: Instead of running chillers in the middle of the day, stored cooling does the work.
- Lowers Energy Costs: Off-peak electricity rates are cheaper. This helps businesses save money.
Types of CTES Systems
CTES works in different ways. The best choice depends on space, budget, and cooling needs.
- Chilled Water Storage: The most common system. Chilled water is stored in a insulated water cistern and used later. It’s simple, reliable, and widely used.
- Phase-Change Material (PCM) Storage: This system uses special materials that absorb and release cooling energy. It’s compact but more expensive to install.
Why CTES is Worth It
CTES helps businesses run smarter, lower their carbon footprint, and stay ahead of rising energy costs.
Cuts Energy Costs
- Electricity costs less at night. CTES takes advantage of lower rates.
- Many power companies offer discounts for shifting cooling loads.
Helps the Power Grid
- CTES reduces demand during peak hours.
- This helps prevent blackouts and improves grid reliability.
Supports Sustainability Goals
- Lower power use means fewer carbon emissions.
- Many companies use CTES to meet green energy targets.
Tax Breaks & Incentives
- Under the Inflation Reduction Act (IRA) Section 48, businesses can get 30-40% tax credits for installing CTES.
- Some states also offer extra rebates for energy-efficient cooling.
Improves System Reliability
- CTES provides backup cooling in case of chiller failures.
- This is critical for data centers, hospitals, and factories.
Electricity costs keep rising. Cooling won’t get any cheaper. CTES is a smart way to save money, improve efficiency, and prepare for the future. With tax incentives now available, there’s no better time to invest in sustainable water storage solutions.
Applications of CTES in Different Industries
Cooling is expensive, but many industries can’t run without it. Chillers work around the clock to keep buildings, equipment, and products safe. The problem? Power is most expensive when cooling is needed the most.
Chilled Thermal Energy Storage (CTES) fixes this. Instead of running chillers all day, businesses store cooling energy when electricity is cheap and use it later. Here’s how different industries are making it work.
1. Office Buildings
Big buildings need cooling all day. CTES stores chilled water in bulk water tanks overnight when power is cheaper. During the day, that stored cooling keeps offices cool without overloading HVAC systems.
2. Hospitals
Medical centers can’t afford cooling failures. Operating rooms, labs, and patient areas need steady temperatures. CTES keeps cooling available even when electricity demand spikes. Many hospitals use CTES to cut costs and ensure backup cooling.
3. Data Centers
Servers overheat fast. If cooling fails, equipment can crash in minutes. CTES stores cooling in advance so data centers don’t have to run chillers 24/7. This keeps temperatures steady and protects hardware.
4. Factories
Industries like food processing and pharmaceuticals rely on cooling. Without it, products spoil or machines overheat. Running chillers all day is expensive. CTES lowers power use during peak hours while keeping production running.
5. City-Wide Cooling
Some cities share cooling across buildings. Instead of each building running its own chiller, a central plant sends chilled water to offices, malls, and homes.
CTES saves money, prevents power grid overloads, and makes cooling more reliable. As energy prices rise, storing cooling ahead of time is the smarter move.
Real-World Examples of CTES in Action
Chilled Thermal Energy Storage isn’t just a smart idea, it’s already working in the real world. Here are three standout case studies that show how it works:
1. UC San Diego – Smart Cooling at Campus Scale
The University of California, San Diego, runs one of the most advanced energy systems in the country, and CTES is a key part of it.
They installed a 6-million-gallon chilled water reservoir cistern that stores cooling energy at night when electricity is cheaper. During the day, that stored energy cools classrooms, labs, and student housing without running the chillers.
The result:
- Lower peak electricity use
- Significant cost savings
- A more resilient and sustainable campus
UC San Diego’s CTES system and high-capacity water tanks are part of a larger microgrid that helps the campus stay nearly energy self-sufficient. It’s a model for smart energy use on a large scale.
2. Bank of America Plaza – Energy Savings in the Skyline
Dallas’s Bank of America Plaza, one of the tallest buildings in Texas, uses a 1.2-million-gallon chilled water thermal storage tank system to manage its cooling needs.
Instead of running chillers during the hottest part of the day, the building stores cold water in reservoir tanks at night. That chilled water is then pumped through the building’s HVAC systems during peak hours.
What that means:
- Reduced strain on the power grid
- Big savings on electricity bills
- Smarter cooling for a massive skyscraper
It’s proof that CTES isn’t just for industrial or campus settings, it works for high-rise commercial buildings, too.
3. Dubai International Financial Centre (DIFC) – Cooling the Desert
Dubai gets really hot. And when you’re running high-rise offices, luxury shops, and hotels, you need serious cooling power. That’s where CTES comes in.
The DIFC uses district cooling systems operated by Empower, one of the largest providers in the world. These systems include chilled water thermal energy storage to deliver efficient cooling across the entire district.
The benefits:
- Up to 50% reduction in energy use compared to traditional cooling
- Steady cooling, even during extreme temperatures
- Lower emissions and operating costs
CTES makes it possible to cool an entire city block efficiently—especially in one of the hottest places on earth.
Why FTC Tanks Are Ideal for CTES
Not all industrial water tanks work well for CTES. Some lose cooling energy too fast. Others take up too much space or need constant maintenance. FTC Tanks solves these problems.
FTC Tanks has pioneered FRP panel type water tanks technology in the USA. Their modular design makes them a top choice for CTES. Here’s why:
- Keeps Water Cold Longer: Cooling energy is only useful if it stays stored. FTC Tanks AWWA compliant water tank offers pre-insulated panels with high R-values. This means less heat loss and longer-lasting cold storage.
- Fits in Tight Spaces: Many buildings don’t have room for big concrete or steel water cistern. FTC Tanks use a modular design, making their confined space water cistern easy to install in basements, rooftops, or mechanical rooms. They’re perfect for new projects and retrofits.
- No Rust, No Hassle: Steel water cistern rusts. Concrete cracks. FTC Tanks are made of fiberglass-reinforced plastic (FRP), so they won’t corrode, grow algae, or degrade over time. This means lower maintenance and a longer lifespan for your modular water tanks.
- Built to Industry Standards: FTC Tanks meet AWWA D121 and NFPA 22 standards. They comply with regulations for sustainable water storage and fire protection. Businesses can trust the durability and performance of these weather-resistant tanks.
- Custom Sizes & Features: Every project is different. FTC Tanks can be customized for size, capacity, and special compartments for redundancy. These custom water tanks also integrate with control systems for better efficiency.
FTC water storage tanks keep chilled water cold, fit in tight spaces, and last longer. These water storage containers are a smart, low-maintenance choice for any CTES setup.
Government Incentives & Regulatory Compliance
The U.S. government encourages energy storage solutions like CTES through financial incentives. Under the Inflation Reduction Act, eligible projects can receive:
- 30-40% Federal Investment Tax Credit (ITC) for TES systems.
- State-level incentives, including rebates and tax credits for energy efficiency upgrades.
- Grants & utility programs that support off-peak energy storage and demand management.
FTC Tanks’ systems meet these requirements, making them a smart, cost-effective choice for businesses looking to save money and support sustainable energy use.
What’s Next for CTES?
As energy costs rise and sustainability takes center stage, more businesses are turning to CTES for cooling. New advancements are making these systems even more efficient and accessible. Here’s what’s shaping the future:
Integration with Renewable Energy
CTES is now pairing with solar and wind power to store and use energy more efficiently.
Smart Grid & IoT Connectivity
Sensors and automated controls help optimize storage, improve performance, and prevent issues before they happen.
Growth in Urban & High-Density Areas
With limited space in urban areas, compact CTES solutions like FTC Tanks provide reliable cooling without taking up too much room.
Decarbonization & Policy Support
Governments are encouraging energy-saving solutions, making CTES an important part of reducing carbon emissions.
With these changes, CTES is becoming an even smarter and more practical choice for businesses looking to save energy and stay ahead.
Summing Up
Energy costs are rising, and businesses need better ways to stay cool without breaking the bank. Chilled Thermal Energy Storage offers a smart solution. It cuts costs, improves efficiency, and helps businesses run smoothly.
FTC Tanks makes it easy. Their FRP panel water tanks are strong, insulated, and built to last. These cost-effective water tanks work well for businesses, hospitals, and factories.
With government incentives and a growing demand for energy savings, now is the perfect time to switch. FTC Tanks can help lower costs and reduce strain on the grid.Make the smart move to see what FTC Tanks can do for you today!
