A prototype thermoelectric system integrated with PCM (phase change material) heat storage unit for space cooling has been introduced in this work. The PCM heat storage functions as cooling source and carries, partially at least, the cooling load during cooling operation. A simplified analytical model for the thermoelectric module has been adopted to investigate the theoretical performance characteristics of the modules. The experimental test in a reduced-scale chamber has achieved 7 C temperature difference between "indoor" and "outdoor" environments and realized an average cooling COP (coefficient of performance) of 0.87 for the thermoelectric cooling system, with the maximum cooling COP of 1.22. Another comparison test for efficacy of PCM heat storage unit shows that 35.3% electrical energy has been saved from using PCM heat storage. During PCM charging (melting) process, natural convection has been observed playing a key effect factor of heat transfer in PCM. Published by Elsevier Ltd.