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  • Open Access

Assessing Waste Heat Utilization in Power-to-Heat-to-Power Storage Systems for Cost-Effective Building Electrification

Alicia López-Ceballos* and Alejandro Datas†

  • *Contact author: a.l.ceballos@upm.es
  • †Contact author: a.datas@upm.es
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PRX Energy 5, 013007 – Published 12 February, 2026

DOI: https://doi.org/10.1103/9fk5-j4t2

Abstract

Fully electrifying the building sector requires not only the widespread adoption of photovoltaic (PV) self-consumption and heat pumps, but also the integration of cost-effective energy-storage solutions. Hybridizing lithium-ion (Li-ion) batteries with power to heat to power storage (PHPS) systems—thermal batteries capable of thermal-to-electric energy conversion—offer a promising and economically viable solution. PHPS systems dispatch combined heat and power by utilizing the low-temperature waste heat generated during the thermal-to-electric energy-conversion process. This study investigates the technoeconomic impacts of waste heat use in PHPS systems integrated with Li-ion batteries and heat pumps to support the decarbonization of the building sector. Two distinct strategies are evaluated: (1) direct use of waste heat to meet heating demands; and (2) the use of waste heat to enhance the heat pump’s coefficient of performance. Results show that supplying the waste heat at the demand setpoint temperature is the best solution to integrate PHPS cost effectively, although enhancing the heat pump’s COP with waste heat also yields notable economic gains. Additionally, leveraging waste heat significantly lowers the minimum thermal-to-electric conversion efficiency required for PHPS systems to achieve economic viability. Optimal PHPS designs enable large-scale energy storage and charging capacities, thereby enhancing PV self-consumption rates and reducing the levelized cost of energy. The analysis also reveals that hybridizing PHPS with Li-ion batteries may rise as the optimal solution for moderately priced PHPS systems, with the reduction in levelized cost being more pronounced in solar-dominated regions.

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One of the biggest challenges in transitioning to renewable energy is the mismatch between energy generation and demand. Power to Heat to Power Storage (PHPS) offers an affordable way to store excess electricity by converting it into heat, storing it at high temperatures, and converting it back to electricity on demand. While the discharging process generates waste heat, it can be repurposed to meet a building's heating needs, boosting overall efficiency of the system. This study explores the integration of a PHPS system in a building with PV, Lithium-ion batteries and heat pumps. The analysis evaluates two approaches for utilizing the waste heat either (1) supplying it directly at the demand setpoint temperature or (2) using it at a lower temperature to enhance the efficiency of the heat pump. The results highlight that effectively leveraging the waste heat is crucial for making PHPS feasible at lower discharging efficiencies. The benefits are more noticeable in buildings with higher heating demand.

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PRX Energy 5, 013007– Published 12 February, 2026
  • Received 6 June 2025
  • Revised 5 December 2025
  • Accepted 20 January 2026
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Published by the American Physical Society under the terms of the Creative Commons Attribution 4.0 International license. Further distribution of this work must maintain attribution to the author(s) and the published article's title, journal citation, and DOI.

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