Zero Industrial, Inc., a US-based company specialising in the development of thermal energy storage (TES) systems, announced on April 7 that it has closed a $10 mn Series A funding round. The round was led by venture capital firm Evok Innovations, with participation from Rusheen Capital Management. The funding aims to support the expansion of TES projects at industrial facilities across the United States and Canada.
Founded in 2024 by Ted Kniesche and Jim McDermott, Zero Industrial offers end-to-end development services for TES projects, including technology selection, design and engineering. The company fully finances each project and sells heat or steam through long-term Heat-as-a-Service contracts, requiring no upfront capital expenditure from industrial clients.
A model for decarbonised heat supply
Zero Industrial’s TES systems enable industrial sites to replace fossil fuel use with electricity stored as heat, helping to reduce energy costs and market volatility. This approach also addresses the growing need to optimise electricity generated from intermittent renewable sources, whose large-scale integration challenges power grid stability.
According to Ted Kniesche, Chief Executive Officer of Zero Industrial, the funding will accelerate the deployment of projects for industrial customers seeking alternatives to burning gas, fuel oil or coal. The proposed solutions target clients aiming to hedge against energy price fluctuations while upgrading their infrastructure.
A response to grid constraints
Naynika Chaubey, Partner at Evok Innovations, noted that the surge in low-cost renewable energy and the increasing instability of power grids make the rollout of thermal storage solutions urgent. She stated that Zero Industrial’s model offers a practical response to logistical and economic challenges posed by converting excess electricity into baseload heat.
The company is actively developing new projects and working with industrial customers in North America looking to reduce exposure to regulated pollutants while securing long-term energy supply.
