Nostromo’s thermal ESS participates in CAISO energy market

November 27, 2025
LinkedIn
Twitter
Reddit
Facebook
Email

Nostromo Energy’s IceBrick thermal energy storage (TES) technology will participate in the California Independent System Operator (CAISO) wholesale energy market.

The IceBrick is installed at the Beverly Hilton Hotel and also serves the adjacent Waldorf Astoria. Israel-headquartered technology company Nostromo claims it is the first behind-the-meter thermal energy storage (TES) system to participate in the CAISO wholesale energy market as a standalone demand response resource, through a partnership with distributed energy resource (DER) integration provider Olivine.

IceBrick is a modular, behind-the-meter (BTM) energy storage system (ESS) that cools water into ice during off-peak times and uses it to cool circulating water in commercial air conditioning systems during peak hours.

In December 2024, the US Department of Energy (DOE) announced a conditional commitment to IceBrick Energy for a loan of up to US$305.54 million to support Project IceBrick. This project involves a virtual power plant (VPP) composed of up to 193 cold thermal energy storage (TES) systems installed in commercial buildings throughout California.

This article requires Premium SubscriptionBasic (FREE) Subscription

Try Premium for just $1

  • Full premium access for the first month at only $1
  • Converts to an annual rate after 30 days unless cancelled
  • Cancel anytime during the trial period

Premium Benefits

  • Expert industry analysis and interviews
  • Digital access to PV Tech Power journal
  • Exclusive event discounts

Or get the full Premium subscription right away

Or continue reading this article for free

Nostromo’s IceBrick system at the Beverly Hilton took part in California’s Demand Side Grid Support (DSGS) program this summer, achieving event reductions of over 200kW. Through bidding with Olivine in the CAISO market, Nostromo allowed the Beverly Hilton and Waldorf Astoria to function as a dispatchable, market-driven resources.

In September, California cut funding for DSGS. The programme reached 700MW of enrolled capacity in a relatively short period and, during a test event, reduced California’s net load.

Speaking with Energy-Storage.news Premium about that programme, Lauren Nevitt, Senior Director of Public Policy at residential solar PV and energy storage leasing company Sunrun, noted that the programme was the largest VPP in the country, “and probably the world.”

Olivine says its ‘ClimateResponse’ DER platform enabled the IceBrick to participate in DSGS.

The platform and Olivine’s market services “bridge the gap” between complex CAISO requirements and the monetisation of real-world asset operations. The platform helped to enable CAISO market transactions, coordinate dispatches, and provide actionable performance valuations.

Nostromo and Olivine say the two companies will build on this development “by enabling other commercial buildings and data centres to become active, flexible grid partners through cost-effective, decarbonising technologies.”

“Cooling by commercial buildings and data centres is the single largest load on the grid, and making these large loads flexible and operable interactively with the power grid demonstrates how buildings and data centres can help the grid unlock existing capacity to serve new demands, while saving energy costs and enjoying more resilient and reliable cooling operation,” Nostromo CEO Yoram Ashery said.

17 March 2026
Sydney, Australia
As we move into 2026, Australia is seeing real movement in emerging as a global ‘green’ superpower, with energy storage at the heart of this. This Summit will explore in-depth the ‘exponential growth of a unique market’, providing a meeting place for investors and developers’ appetite to do business. The second edition will shine a greater spotlight on behind-the-meter developments, with the distribution network being responsible for a large capacity of total energy storage in Australia. Understanding connection issues, the urgency of transitioning to net zero, optimal financial structures, and the industry developments in 2026 and beyond.
24 March 2026
Dallas, Texas
The Energy Storage Summit USA is the only place where you are guaranteed to meet all the most important investors, developers, IPPs, RTOs and ISOs, policymakers, utilities, energy buyers, service providers, consultancies and technology providers in one room, to ensure that your deals get done as efficiently as possible. Book your ticket today to join us in 2026!
15 September 2026
San Diego, USA
You can expect to meet and network with all the key industry players again in 2025 from major US asset owners, operators, RTOs and ISOs, optimizers, software and analytics providers, technical consultancies, O&M technology providers and more.

Read Next

March 11, 2026
California’s rapid adoption of energy storage has been a major success, but market participation is complex and competitive, write Matt Drazenovich of TWAICE and Chris Swanson of Fullmark Energy.
March 11, 2026
Energy firm RWE added 2GW to its US operating capacity in 2025, bringing its total operational capacity to nearly 13GW across the country.
Premium
March 11, 2026
Recently, utility Xcel Energy announced it would install 30GWh of US startup Form Energy’s iron-air batteries at a data centre in Pine Island, Minnesota, owned by tech giant Google.
March 11, 2026
The Energy Storage Report 2026 is packed with insights, analysis and fresh reporting on the headline topics in BESS today.
March 10, 2026
Residential energy storage startup Base Power is collaborating with utility Denton County Electric Cooperative (CoServ) to deploy 100MW of residential energy storage across North Texas, US.