This master thesis investigated the feasibility of borehole thermal energy storage and solarheating in the high arctic using Longyearbyen in Svalbard as a reference study place. Fieldwork was conducted in Longyearbyen, Svalbard to estimate thermal properties of ground.Modelling of the energy storage was conducted to estimate the efﬁciency and environmen-tal impact. Preliminary cost estimate was conducted to determine the economical feasibilityof the technology in the Arctic. Results of this thesis concluded that the borehole thermal en-ergy storage is technologically possible in the Arctic environment. Cost estimate for the sys-tem appears to be in the higher range, but not extraordinary high when compared to energyprices worldwide. Main concerns related to implementing this technology is the thawing ofpermafrost.