A method of operating an air conditioning system includes operating a refrigeration unit to cool a volume of refrigerant and circulating the refrigerant to a heat exchanger. A serviced space is cooled via a thermal energy exchange between the serviced space and the refrigerant at the heat exchanger. Thermal energy generated by operation of the refrigeration unit is stored at a thermal energy storage system. An air conditioning system includes a refrigeration unit and a heat exchanger operably connected to the refrigeration unit. The heat exchanger is configured to transfer thermal energy between a serviced space and the refrigeration unit, thus cooling the serviced space. A volume of thermal energy storage medium is utilized to absorb thermal heat generated by the refrigeration unit for dissipation into the ambient environment at a selected time.