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Tesla doubles down on Solar options after record deployment

(Credit: Tesla)

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Tesla has rolled out new solar panel options by providing four new sizes and new pricing points.

Tesla has made several modifications to its solar panel program in 2020, with the most recent appearing in mid-June. The sustainable energy company rolled out a new program over the summer that included new, higher-powered solar panel systems at more affordable pricing.

Now, Tesla has made further revisions to the program, adding four new sizing options that are more versatile and allow for a more customized fit to any sized home.

Credit: Tesla

In June, Tesla offered four new sizes for its solar systems that had more efficiency and lower pricing.

  • Small – 4.08 kW – $10,000, $7,400 after incentives
    • Produces 11-15 kWh daily
  • Medium – 8.16 kW – $16,000, $11,840 after incentives
    • Produces 23-29 kWh daily
  • Large – 12.24 kW – $23,500, $17,390 after incentives
    • Produces 33.44 kWh daily
  • X-Large – 16.32 kW – $30,000, $22,200 after incentives
    • Produces 45-58 kWh daily

Tesla has added four new systems that are not labeled with typical “sizing” descriptions. Now, they are labeled with their power capacity in kW. The pricing options listed below apply to California customers and vary in other states. New sizes are indicated with bold lettering.

  • 4.08 kW – $8,200, $6,396 after incentives
    • Produces 16-21 kWh daily
  • 6.12 kW – $12,300, $9,594 after incentives
    • Produces 23-31 kWh daily
  • 8.16 kW – $16,400, $12,792 after incentives
    • Produces 31-42 kWh daily
  • 10.2 kW – $20,500, $15,990 after incentives
    • Produces 39-52 kWh daily
  • 12.24 kW – $24,600, $19,188 after incentives
    • Produces 27-63 kWh daily
  • 14.28 kW – $28,800, $22,386 after incentives
    • Produces 55-73 kWh daily
  • 16.32 kW – $32,800, $25,584 after incentives
    • Produces 63-84 kWh daily
  • 18.36 kW – $36,900, $28,782 after incentives
    • Produces 70-94 kWh daily

The new, more well-rounded options provide a fit that will cater to more households. The previous options were sufficient enough, but as Tesla’s solar deployment continues to grow, the company may have needed to adapt by providing more sizing options moving forward.

Tesla’s Q3 Earnings Update letter detailed the company’s skyrocketing demand for solar panels. Energy storage deployments reach a record 759 MWh in Q3, and Powerwall demand is continuing to grow. With Solar Panels, Tesla cited that its low-cost systems are “starting to have an impact.” Total solar deployments continued to grow and more than doubled in Q3 thanks to Tesla’s Solar Roof and Solar Panels.

The main reason for Tesla’s continuing demand growth in its solar energy deployments comes down to pricing. Tesla Solar is 30% less expensive than the U.S. average, thanks to its focus on reducing soft costs. This included eliminating wages for sales representatives and allowing customers to buy their own solar packages online. Additionally, soft costs, which are non-component costs of the system, can attribute to higher pricing when systems are being ordered. Instead of having permits, inspections, and salespeople to pay, Tesla did away with these and slashed costs significantly.

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Now that more sizing options are available, customers can get a solar panel outfitting from Tesla that is catered to the size of their home instead of buying a system that is more than big enough. This will reduce the possibility of a homeowner having to buy a system that is too big for their home and will save the customer money.

Of course, Tesla Solar can also be loaned for as little as $47 a month, and customers can also use the Subscription option, which runs as low as $65 a month.

Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

Energy

Tesla Energy celebrates one decade of sustainability

Tesla Energy has gone far since its early days, and it is now becoming a progressively bigger part of the company.

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(Credit: Tesla)

Tesla Energy recently celebrated its 10th anniversary with a dedicated video showcasing several of its milestones over the past decade.

Tesla Energy has gone far since its early days, and it is now becoming a progressively bigger part of the company.

Tesla Energy Early Days

When Elon Musk launched Tesla Energy in 2015, he noted that the business is a fundamental transformation of how the world works. To start, Tesla Energy offered the Powerwall, a 7 kWh/10 kWh home battery system, and the Powerpack, a grid-capable 100 kWh battery block that is designed for scalability. A few days after the products’ launch, Musk noted that Tesla had received 38,000 reservations for the Powerwall and 2,500 reservations for the Powerpack

Tesla Energy’s beginnings would herald its quiet growth, with the company later announcing products like the Solar Roof tile, which is yet to be ramped, and the successor to the Powerwall, the 13.5 kWh Powerwall 2. In recent years, Tesla Energy also launched its Powerwall 3 home battery and the massive Megapack, a 3.9 MWh monster of a battery unit that has become the backbone for energy storage systems across the globe.

Key Milestones

As noted by Tesla Energy in its recent video, it has now established facilities that allow the company to manufacture 20,000 units of the Megapack every year, which should help grow the 23 GWh worth of Megapacks that have already been deployed globally. 

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The Powerwall remains a desirable home battery as well, with more than 850,000 units installed worldwide. These translate to 12 GWh of residential entry storage delivered to date. Just like the Megapack, Tesla is also ramping its production of the Powerwall, allowing the division to grow even more.

Tesla Energy’s Role

While Tesla Energy does not catch as much headlines as the company’s electric vehicle businesses, its contributions to the company’s bottom line have been growing. In the first quarter of 2025 alone, Tesla Energy deployed 10.4 GWh of energy storage products. Powerwall deployments also crossed 1 GWh in one quarter for the first time. As per Tesla in its Q1 2025 Update Letter, the gross margin for the Energy division has improved sequentially as well.

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Tesla Energy shines with substantial YoY growth in deployments

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Credit: Tesla Megapack

Tesla Energy shined in what was a weak delivery report for the first quarter, as the company’s frequently-forgotten battery storage products performed extraordinarily well.

Tesla reported its Q1 production, delivery, and deployment figures for the first quarter of the year, and while many were less-than-excited about the automotive side, the Energy division performed well with 10.4 GWh of energy storage products deployed during the first quarter.

This was a 156 percent increase year-over-year and the company’s second-best quarter in terms of energy deployments to date. Only Q4 2024 was better, as 11 GWh was recorded.

Tesla Energy is frequently forgotten and not talked about enough. The company has continued to deploy massive energy storage projects across the globe, and as it recorded 31.5 GWh of deployments last year, 2025 is already looking as if it will be a record-setting year if it continues at this pace.

Tesla Megapacks to back one of Europe’s largest energy storage sites

Although Energy performed well, many investors are privy to that of the automotive division’s performance, which is where some concern lies. Tesla had a weak quarter for deliveries, missing Wall Street estimates by a considerable margin.

There are two very likely reasons as to why this happened: the first is Tesla’s switchover to the new Model Y at its production facilities across the globe. Tesla said it lost “several weeks” of production due to the updating of manufacturing lines as it rolled out a new version of its all-electric crossover.

Secondly, Tesla could be facing some pressure from pushback against the brand, which is what many analysts will say. Despite the publicity of attacks on Tesla drivers and their vehicles, as well as the company’s showrooms, it would be safe to assume that we will have a better picture painted of what the issue is in Q2 after the company reports numbers in July.

New Tesla Model Y was a best-seller in China in March 2025

If Tesla is still struggling with lackluster delivery figures in Q2 after the Model Y is ramped and deliveries are more predictable and consistent, we could see where the argument for brand damage is legitimate. However, we are more prone to believe the Model Y, which accounts for most of Tesla’s sales, and its production ramp is likely the cause for what happened in Q1.

In what was a relatively bleak quarter, Tesla Energy still shines as the bright spot for the quarter.

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Energy

Tesla lands in Texas for latest Megapack production facility

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(Credit: Tesla)

Tesla has chosen the location of its latest manufacturing project, a facility that will churn out the Megapack, a large-scale energy storage system for solar energy projects. It has chosen Waller County, Texas, as the location of the new plant, according to a Commissioners Court meeting that occurred on Wednesday, March 5.

Around midday, members of the Waller County Commissioners Court approved a tax abatement agreement that will bring Tesla to its area, along with an estimated 1,500 jobs. The plant will be located at the Empire West Industrial Park in the Brookshire part of town.

Brookshire also plans to consider a tax abatement for Tesla at its meeting next Thursday.

The project will see a one million square-foot building make way for Tesla to build Megapack battery storage units, according to Covering Katy News, which first reported on the company’s intention to build a plant for its energy product.

CEO Elon Musk confirmed on the company’s Q4 2024 Earnings Call in late January that it had officially started building its third Megapack plant, but did not disclose any location:

“So, we have our second factory, which is in Shanghai, that’s starting operation, and we’re building a third factory. So, we’re trying to ramp output of the stationary battery storage as quickly as possible.”

Tesla plans third Megafactory after breaking energy records in 2024

The Megapack has been a high-demand item as more energy storage projects have started developing. Across the globe, regions are looking for ways to avert the loss of power in the event of a natural disaster or simple power outage.

This is where Megapack comes in, as it stores energy and keeps the lights on when the main grid is unable to provide electricity.

Vince Yokom of the Waller County Economic Development Partnership, commented on Tesla’s planned Megapack facility:

“I want to thank Tesla for investing in Waller County and Brookshire. This will be a state-of-the-art manufacturing facility for their Megapack product. It is a powerful battery unit that provides energy storage and support to help stabilize the grid and prevent outages.”

Tesla has had a lease on the building where it will manufacture the Megapacks since October 2021. However, it was occupied by a third-party logistics company that handled the company’s car parts.

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