Using solar energy and waste heat for medium-temperature thermal applications depends on efficient and economical heat storage development. Developing a compact thermal energy storage system is essential to use excess thermal energy from a source in a process or to shift the utilisation time of solar thermal energy or recovered waste heat. Phase change materials are commonly used for energy storage applications globally. In this work, a latent heat thermal energy storage (LHTES) system with 2.37 kg of Erythritol as the phase change material (PCM) has been studied. A shell and tube heat storage system is selected due to its effectiveness in heat transfer. Synthetic silicone oil Hi-Tech Therm-60 was used as heat transfer fluid. Thermal stability tests in a differential scanning calorimeter (DSC) for a small sample mass and a specifically designed experiment for a larger sample mass were performed to assess the stability of the PCM. The time-dependent temperature distribution inside the storage system and the effect of heat transfer fluid (HTF) inlet temperature on the charging behaviour were studied during the charging process. Charging time and melt fraction have been calculated. No significant change in melting temperature and a 10% reduction in latent heat of PCM was observed in the thermal stability test for a small sample mass in DSC. The charging time of the storage device was observed to be 91–97 min and 195 min for 140 °C and 130 °C HTF inlet temperatures, respectively. The total stored energy in the system was 922 kJ with a Stefan number of 0.59. Temperature variation during the charging process inside the storage also suggests a buoyancy effect, leading to increased natural convection during the melting process.