The word energy derives from the Ancient Greek: energeia, lit. 'activity, operation', which possibly appears for the first time in the work of Aristotle in the 4th century BC. In contrast to the modern definition, energeia was a qualitative philosophical concept, broad enough to include ideas such as happiness and pleasure.

In the late 17th century, Gottfried Leibniz proposed the idea of the Latin: vis viva, or living force, which defined as the product of the mass of an object and its velocity squared; he believed that total vis viva was conserved. To account for slowing due to friction, Leibniz theorized that thermal energy consisted of the random motion of the constituent parts of matter, although it would be more than a century until this was generally accepted. The modern analog of this property, kinetic energy, differs from vis viva only by a factor of two.

In 1807, Thomas Young was possibly the first to use the term "energy" instead of vis viva, in its modern sense. Gustave-Gaspard Coriolis described "kinetic energy" in 1829 in its modern sense, and in 1853, William Rankine coined the term "potential energy". The law of conservation of energy was also first postulated in the early 19th century, and applies to any isolated system. It was argued for some years whether heat was a physical substance, dubbed the caloric, or merely a physical quantity, such as momentum. In 1845 James Prescott Joule discovered the link between mechanical work and the generation of heat.

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