Exergy3 has commissioned a high-temperature thermal energy storage system at Annandale Distillery, in what is described as a first-of-a-kind project to decarbonise industrial heat in whisky production.
Installed at the Dumfries-based distillery, the system delivers process heat using low- and zero-carbon electricity, targeting one of the most challenging aspects of industrial decarbonisation. Industrial heat accounts for around 18% of global CO₂ emissions, with high-temperature applications traditionally reliant on fossil fuels.
The project was delivered in partnership with Cochran Ltd and supported by funding from the UK Department for Energy Security and Net Zero through its Net Zero Innovation Portfolio.
The distillery’s modular system stores thermal energy at up to 1,200°C
Exergy3’s modular system converts renewable electricity into stored thermal energy at temperatures of up to 1,200°C. At Annandale, it supplies hot air at up to 530°C, which is converted into steam via a 3MW Cochran boiler operating at 10 bar for use in distillation.
A key feature of the installation is its use of curtailed renewable energy. The system captures excess wind power—otherwise wasted due to grid constraints—and converts it into low-cost heat. Grid balancing costs in the UK reached £2.7 billion in 2024 and are projected to rise further, underlining the potential value of such approaches.
The installed system comprises three modules with a combined storage capacity of 30MWh. Each module offers more than 10MWh capacity, round-trip efficiency of up to 96%, and thermal losses of less than 1% per 24 hours. The compact, modular design allows deployment within months and integration alongside existing heat infrastructure.
Professor David Thomson, co-founder of Annandale Distillery, said: “Heat-intensive industries like ours are under increasing pressure to decarbonise, and solutions that can deliver high-temperature heat without fossil fuels have been hard to find. The fact that it does so economically, while also helping tackle the rising costs of balancing the electricity system, makes it incredibly powerful.”
The installation forms part of Annandale’s wider decarbonisation strategy, which includes on-site bottling and maturation, electrification of transport, and reuse of process by-products.
Exergy3 CEO Markus Rondé said the technology could have broader industrial relevance: “Beyond whisky, our solution could halve global industrial CO₂ emissions, while being cheaper than gas and reducing rapidly rising curtailment costs that are paid for by the consumer.”
Photo: (L-R) Exergy3’s Markus Rondé and Dr Adam Robinson meet staff at the Annandale Distillery
Credit: Annandale Distillery


