The regulations to reduce energy consumption and carbon dioxide emission in building sectors are being developed and promoted all over the world. However, in Korea, as balcony extension of the apartments has been legally allowed, it became prevalent and resulted in excessive energy consumption. This study derived the possibility of PCM application to the thermal storage wall system through theoretical consideration and investigated the problems occurring when the balcony space has been extended to the diverted space. In addition, this study aims at the possibility of verifying the installation and confirming the cooling energy reduction effect, by conducting measuring tests with the actual installation of PCM applied thermal storage wall system. As a result of theoretical consideration, it is determined that the disadvantages with the existing thermal storage wall system can be complemented by applying PCM, and this study suggests the PCM applied Thermal Storage Wall System. The study was conducted on 1/6 of a miniature inner room of a domestic apartment with 84 $m^2$ of exclusive area. From the results of actual measurements, it is confirmed that the balcony extension structure can gain 11.3% of more calories than the existing balcony structure, resulting in the increase in cooling energy usage. It is determined that the installation of the PCM applied Thermal Storage Wall System may gain 25.2% of less calories to reduce cooling energy usage.