Industrial heat is one of the toughest sectors to decarbonise. Finnish-based TheStorage is tackling it head-on with a solution that replaces fossil fuels with renewable-powered thermal energy storage. The company has secured €3.6 million in seed funding, led by Voima Ventures, to accelerate its commercialisation. In the round, new investor Momentum Partners also joined, alongside existing investors Superhero Capital and 2C Ventures.
Hot sand paves the way to a cooler climate and cheaper energy
TheStorage’s technology stores energy in hot sand at temperatures of up to 1,100°C, enabling industrial operators to generate heat without relying on fossil fuels. By using electricity when it is cheapest or most abundant, the system allows companies to both cut costs and reduce emissions.
The impact is significant. The solution can lower industrial energy costs by up to 70 percent and reduce emissions by up to 90 percent compared to fossil-based heat production.
“The new funding gives us real momentum in commercialising our technology. Interest in thermal energy storage is growing enormously across industry, and our goal is to be the number one choice for companies looking for efficient solutions to manage their energy costs and support their sustainability targets,” said Timo Siukkola, CEO and co-founder of TheStorage.
Solving a major bottleneck in the energy transition
Today, around 80 percent of industrial heat is still generated using fossil fuels. While renewable electricity is becoming increasingly available, its intermittent nature has made it difficult for industry to rely on it for continuous heat production. Thermal energy storage changes that equation.
By decoupling energy generation from usage, TheStorage enables industrial companies to switch to renewables without compromising reliability or performance. Its proprietary sand-in-motion technology also delivers significantly higher heat transfer efficiency than traditional static systems.
“One fifth of global energy consumption comes from industrial heat production,” says Siukkola. “We offer the best heat transfer solution on the market, up to ten times more efficient than static alternatives.”
Beyond cost savings and emissions reductions, the system also enables participation in electricity reserve markets, opening up new revenue streams for industrial operators while supporting grid stability.
Backing a scalable deep tech solution
For Voima Ventures, TheStorage represents exactly the kind of deep tech opportunity that can deliver both strong climate impact and commercial value.
“TheStorage operates at the centre of two major transitions. The company helps the industry reduce emissions while making renewable energy usage more reliable and economically viable. This is exactly the kind of deep tech opportunity we look for at Voima Ventures. TheStorage has a winning solution that delivers clear value to customers. The technology is highly relevant from a climate perspective and has excellent potential to scale globally,” said Pontus Stråhlman, Partner at Voima Ventures.
From pilot to broader deployment
TheStorage has already taken its first step into industrial deployment. Its pilot facility, commissioned at Nokian Panimo in Finland, has been producing steam for the brewery’s production processes since February.
With the new funding, the company will focus on scaling its commercial operations and expanding its team.
“Our goal is to double our team by the end of 2026,” says Siukkola. “Now there is no reason for industry to keep using fossil fuels.”
