They’re not converting it back into electricity, this is for industrial process heat. They have 100 units of electrical energy and 98 units go into whatever the industry needs to heat.
Lots of industries use ovens, kilns or furnaces. Mostly fueled by gas at the moment. Using electricity would be very expensive unless they can timeshift usage and get low spot prices. Since they need heat anyway, thermal storage is pretty cheap and efficient.
You know the person who had the greatest positive impact on the environment on this planet? Genghis Khan, because he massacred forty million people.