Thermal Energy Storage in Renewable Energy Communities: A State-of-the-Art Review

Renewable Energy Communities (RECs) are recognized as effective collective models to accelerate decarbonization through shared renewable generation, consumption, and local flexibility provision. However, their large-scale deployment remains constrained by the temporal mismatch between variable renewable generation and strongly time-dependent demand, particularly in buildings where heating and cooling dominate final energy use. This state-of-the-art review provides an integrated and comparative assessment of Thermal Energy Storage (TES) and Battery Energy Storage Systems (BESS) within RECs, with explicit focus on power-to-heat (PtH) pathways and phase change material (PCM)-based cooling storage. Based on a structured analysis of the peer-reviewed literature published between 2015 and 2025, the review shows that TES represents a cost-effective and durable complement to electrochemical storage in heating- and cooling-dominated communities. Reported results indicate that TES integration can reduce peak electrical demand by 20–35%, increase local renewable self-consumption by 15–40%, and significantly lower required battery capacity in hybrid configurations. While BESS remains indispensable for short-term electrical balancing and fast-response grid services, TES offers lower costs per kWh stored, longer operational lifetimes (often exceeding 25–40 years), and lower lifecycle greenhouse gas emissions, typically 70–85% lower than those of BESS when thermal energy is used directly. Among TES technologies, PCM-based systems demonstrate particular effectiveness in cooling-dominated RECs, enabling peak cooling power reductions of up to 30% through diurnal load shifting. Across climatic contexts, the literature converges on hybrid TES–BESS architectures as the most robust storage solution, with reported reductions in grid imports and renewable curtailment of up to 35–40%. In addition, TES uniquely enables seasonal energy shifting, for which no cost-competitive electrochemical alternative currently exists. Despite these advantages, the review identifies persistent gaps related to the limited availability of long-term operational data and the need for empirical validation of hybrid control strategies. Future research should prioritize multi-year field demonstrations, advanced data-driven energy management, and policy frameworks that explicitly recognize thermal flexibility and sector coupling within Renewable Energy Communities.