Generating industrial heat produces about 10% of global greenhouse gas emissions, surpassing the combined pollution from all cars, planes and ships. Despite this, relatively little attention is paid to decarbonizing industrial heat. The current green approach of electrifying everything faces challenges such as grid capacity constraints, high electricity costs, and difficulty reaching ultra-high temperatures consistently. The traditional method of burning fossil fuels is becoming less viable as companies and governments seek to lower their carbon footprints.
Brenmiller Energy Ltd. (NASDAQ: BNRG), an Israel-based thermal energy storage (TES) provider, is emerging as a trailblazer with its bGen TES platform. The patented solid-state heat battery uses crushed volcanic rock to store low-cost renewable electricity as high-temperature heat, releasing it on demand as zero-emission steam, hot water, or air. By utilizing abundant materials instead of critical battery metals, customers can charge the system when electricity prices are lower and use stored energy during peak demand.
To eliminate upfront costs, Brenmiller recently introduced BNRG360, an energy-as-a-service model. Under this model, Brenmiller develops, owns, and operates the integrated clean energy systems, allowing customers to adopt TES without significant capital investment. BNRG360 represents a strategic shift from equipment supplier to integrated energy infrastructure company, generating recurring revenues through long-term service agreements. This approach is designed to deepen customer relationships and capture greater long-term value.
The TES market is expected to grow into a multi-billion-dollar industry, driven by rising electricity consumption, industrial electrification, grid modernization, renewable energy penetration, and energy security concerns. The expansion of AI and data centers further strains electrical infrastructure, increasing the need for flexible energy systems. Forecasts project the TES market to grow at a CAGR of 10%, reaching nearly $14 billion by 2032.
Brenmiller is proving its technology with Tempo Beverages Ltd. The 32-megawatt-hour TES installation supplies continuous industrial process steam, fully replacing the site's fossil fuel boiler. The system is expected to eliminate approximately 6,200 tons of CO₂ emissions annually and began delivering steam in June. Brenmiller views Tempo as a critical commercial reference, demonstrating scalable TES deployment under real-world conditions. The company is also in discussions with other companies for decarbonization projects.
Looking ahead, Brenmiller focuses on growth, cash flow, and sustainable profitability. With more customers expected to join BNRG360 and additional project commissionings, the company aims to achieve these milestones. Industrial heat needs an alternative energy source, and Brenmiller is positioning its bGen platform to help companies decarbonize.
