Industrial Energy Storage Systems Prize

The Industrial Energy Storage Systems Prize is a $4.8 million federal competition administered by the U.S. Department of Energy’s Industrial Technologies Office. This prize is designed to accelerate the development and market adoption of cost-effective thermal and electric energy storage technologies for the U.S. industrial sector. As one of the largest energy consumers, the industrial sector represents a significant opportunity for advancing energy efficiency, reducing load on the power grid, and supporting decarbonization goals across various industries. The competition focuses on identifying innovative storage solutions that support industrial cooling, high-temperature operations, and hybrid systems delivering heating, cooling, and power. Submissions are expected to enable time-shifting of thermal or electric loads, integrate with renewable energy sources, and improve operational efficiency at industrial facilities. Technologies should be applicable across a wide range of industrial processes and relevant temperature bands, with a view to broad market applicability and future scalability. The prize is structured in three competitive phases. Phase 1 (Design) invites participants to submit conceptual designs for energy storage systems. Up to 18 winners—six per category—will each receive $100,000 and advance to Phase 2. In Phase 2 (Advance), competitors build proof-of-concept prototypes and collect bench-scale performance data. Nine teams—three per category—will receive $200,000 each. Phase 3 (Validate) selects three winners—one per category—who each receive $400,000 for prototype demonstration and scale-up planning. Winners of Phase 3 may also engage in cooperative agreements with DOE for continued development and participation in the Industrial Technology Validation program. The prize is open to a broad range of applicants including individuals, for-profit and nonprofit entities, academic institutions, and non-federal public entities such as states, counties, tribes, and municipalities. Federal agencies and their employees are not eligible to compete. Each applicant may submit one proposal per category, allowing for up to three submissions if pursuing all categories. Participation in the prize requires compliance with all official rules and submission procedures. Interested parties are encouraged to review the rules in full and may subscribe for updates or contact the prize administrators via industrialenergystorage@nrel.gov. Submissions will be judged on criteria including cost-effectiveness, industrial relevance, scalability, and potential for energy savings. Winners may receive technical and partnership opportunities beyond the monetary awards. This prize aligns with DOE’s strategic goals of fostering innovation, improving industrial efficiency, and reducing greenhouse gas emissions. By supporting technologies that manage thermal and electric energy loads more effectively, the prize seeks to position the U.S. industrial sector as a leader in energy-smart manufacturing and climate-conscious operations.