

Energy
Why Tesla’s microgrid project is life changing for Ta’u’s island community
Tesla’s subsidiary, SolarCity, is at the end of a one-year solar energy microgrid project on the American Samoa island of Ta’u that, at 1.4 megawatts, can cover “nearly 100%” of its 600 residents’ electrical needs. Its benefits may be life changing for residents of Ta’u.
Ta’u is a rectangular island 10 km. long and 5 km. wide. In the distant geologic past, the south side of Ta’u collapsed, leaving dramatic 500 km. high cliffs that rise directly from the southern sea. Craters punctuate the island’s wild, thickly forested interior, known for its steep slopes and gullies. Terrain and bush can change quickly, and most of the upland area is inaccessible. American Samoa was first visited by European explorers in the 18th century, but its islands have been inhabited for over 3000 years. Today, at about 340 persons per square km., American Samoa is the second most densely populated South Pacific entity, after Tuvalu.
The island’s residents have acquired power to date largely through generators fueled by diesel. Diesel in itself is made from chemicals including sulfates, ammonium, nitrates, elemental carbon, condensed organic compounds, and even carcinogenic compounds rich in heavy metals such as arsenic, selenium, cadmium and zinc. Diesel exhaust poses major health hazards, contributes to climate change, is costly to ship, and can lead to frequent temporary blackouts. With a dramatic decrease on diesel reliance, Ta’u, through the SolarCity renewable microgrid, will experience valuable community life enhancements that can increase local control and community independence.
Grid stability in a remote location
Energy efficiency is an important component of a renewable microgrid transition. Energy storage is key to renewable island and remote community microgrids. The Ta’u integrated microgrid –- 1.4 megawatts of solar power and 6 megawatt hours of battery storage from 60 Tesla Powerpack, alongside smart controls to enable load shifting— will become an important component of the Ta’u community’s transition to energy independence.
Maintaining grid stability with renewable integration has proved challenging in many other remote island cases in which energy reliance has shifted to a microgrid. SolarCity will likely use a phased integration approach that will initially bring a small amount of renewable technologies online, as it works to balance the system, and then continue to step up their renewable penetration by integrating more solar resources alongside energy storage and advanced controls. For example, on King Island, Australia, Hydro Tasmania has overcome many renewable integration challenges to incorporate more renewable resources into the system. Simon Gamble recalls, “We started adding renewables 18 or 19 years ago, and the challenges have been technical. We had to solve the problems we uncovered as we went.”
Tesla’s Powerpack system will allow the island to use stored solar energy at night, meaning renewable energy is available for use around the clock. Procuring and transporting new technologies and equipment, which has been an issue with other remote island locations that have integrated a renewable energy microgrid, may not present as many challenges for Ta’u, due to the SolarCity involvement. Often, only one or two operators live nearby, so if major technical issues arise, teams must fly in to address the problems. Having SolarCity as a partner can diminish such technical issues on Ta’u.
How a SolarCity microgrid can alter traditional microgrid instability
Although some renewable systems have found success, other communities face challenges transitioning from a fossil fuel reliance to a microgrid. A SolarCity microgrid has the capacity to overcome these challenges due to the influence and reliability of Tesla Energy. Microgrid systems foster community resiliency and stability. Power electronics and control systems enable a more stable grid through better controls. At the same time, relying more on local resources and less on imported diesel increases overall resiliency for the Ta’u community.
Transitioning to renewable microgrids can reduce costs. Research indicates that relying on more diversely and renewably powered microgrids has led to reduced diesel usage, electricity prices, and operating costs. Creating a project like the SolarCity microgrid on Ta’u, with the requisite business plan to lower overall costs and attract investment, is a difficult and lengthy task. However, it has clearly been made easier with SolarCity’s deep understanding of inherent necessary technologies, processes, and pitfalls.
Protecting the Ta’u culture through energy independence
Fa’a Samoa or the Samoan Way is the foundation of Samoan society, culture, and heritage. Fa’a Samoa customs and culture are over 3000 years old and have changed very little over this period. The Fa’a is tenaciously defended by those who have chosen to remain in their home villages rather than to emigrate to the U.S. Fa’a culture and customs are based around the mutual respect given to elders, the church, visitors, and the extended family. The SolarCity grid will enhance the Fa’s or Samoan Way and reinforce the foundation of Samoan society, culture, and heritage.
SolarCity, alongside American Samoan and U.S. authorities, including the Department of Interior, has provided the upfront costs of designing, delivering, installing, and maintaining the solar microgrid. Their customers on Ta’u will pay a fixed monthly fee for clean solar power and start realizing cost savings from day one without the hassle of owning and maintaining their own power system. Removing the hazards of power intermittency will offer a tremendous difference in the lives of Ta’u residents.
“I recall a time they weren’t able to get the boat out here for two months,” said Keith Ahsoon, a local resident whose family owns one of the food stores on the island. “We rely on that boat for everything, including importing diesel for the generators for all of our electricity. Once diesel gets low, we try to save it by using it only for mornings and afternoons. Water systems here also use pumps, everyone in the village uses and depends on that. It’s hard to live not knowing what’s going to happen. I remember growing up using candlelight. And now, in 2016, we were still experiencing the same problems.”
Sources: American Samoa, Renewable Microgrids
As Tesla owners, solar advocates and obvious believers in the future of sustainable energy, we’ve partnered with a service for estimating solar costs based on one’s location and energy requirement. Please consider supporting our solar-focused affiliate partner and fan to Teslarati by getting a cost estimate.
Energy
Tesla Energy is the world’s top global battery storage system provider again
Tesla Energy captured 15% of the battery storage segment’s global market share in 2024.

Tesla Energy held its top position in the global battery energy storage system (BESS) integrator market for the second consecutive year, capturing 15% of global market share in 2024, as per Wood Mackenzie’s latest rankings.
Tesla Energy’s lead, however, is shrinking, as Chinese competitors like Sungrow are steadily increasing their global footprint, particularly in European markets.
Tesla Energy dominates in North America, but its lead is narrowing globally
Tesla Energy retained its leadership in the North American market with a commanding 39% share in 2024. Sungrow, though still ranked second in the region, saw its share drop from 17% to 10%. Powin took third place, even if the company itself filed for bankruptcy earlier this year, as noted in a Solar Power World report.
On the global stage, Tesla Energy’s lead over Sungrow shrank from four points in 2023 to just one in 2024, indicating intensifying competition. Chinese firm CRRC came in third worldwide with an 8% share.
Wood Mackenzie ranked vendors based on MWh shipments with recognized revenue in 2024. According to analyst Kevin Shang, “Competition among established BESS integrators remains incredibly intense. Seven of the top 10 vendors last year struggled to expand their market share, remaining either unchanged or declining.”

Chinese integrators surge in Europe, falter in U.S.
China’s influence on the BESS market continues to grow, with seven of the global top 10 BESS integrators now headquartered in the country. Chinese companies saw a 67% year-over-year increase in European market share, and four of the top 10 BESS vendors in Europe are now based in China. In contrast, Chinese companies’ market share in North America dropped more than 30%, from 23% to 16% amid Tesla Energy’s momentum and the Trump administration’s policies.
Wood Mackenzie noted that success in the global BESS space will hinge on companies’ ability to adapt to divergent regulations and geopolitical headwinds. “The global BESS integrator landscape is becoming increasingly complex, with regional trade policies and geopolitical tensions reshaping competitive dynamics,” Shang noted, pointing to Tesla’s maintained lead and the rapid ascent of Chinese rivals as signs of a shifting industry balance.
“While Tesla maintains its global leadership, the rapid rise of Chinese integrators in Europe and their dominance in emerging markets like the Middle East signals a fundamental shift in the industry. Success will increasingly depend on companies’ ability to navigate diverse regulatory environments, adapt to local market requirements, and maintain competitive cost structures across multiple regions,” the analyst added.
Energy
Tesla inks multi-billion-dollar deal with LG Energy Solution to avoid tariff pressure
Tesla has reportedly secured a sizable partnership with LGES for LFP cells, and there’s an extra positive out of it.

Tesla has reportedly inked a multi-billion-dollar deal with LG Energy Solution in an effort to avoid tariff pressure and domesticate more of its supply chain.
Reuters is reporting that Tesla and LGES, a South Korean battery supplier of the automaker, signed a $4.3 billion deal for energy storage system batteries. The cells are going to be manufactured by LGES at its U.S. factory located in Michigan, the report indicates. The batteries will be the lithium iron phosphate, or LFP, chemistry.
Tesla delivers 384,000 vehicles in Q2 2025, deploys 9.6 GWh in energy storage
It is a move Tesla is making to avoid buying cells and parts from overseas as the Trump White House continues to use tariffs to prioritize domestic manufacturing.
LGES announced earlier today that it had signed a $4.3 billion contract to supply LFP cells over three years to a company, but it did not identify the customer, nor did the company state whether the batteries would be used in automotive or energy storage applications.
The deal is advantageous for both companies. Tesla is going to alleviate its reliance on battery cells that are built out of the country, so it’s going to be able to take some financial pressure off itself.
For LGES, the company has reported that it has experienced slowed demand for its cells in terms of automotive applications. It planned to offset this demand lag with more projects involving the cells in energy storage projects. This has been helped by the need for these systems at data centers used for AI.
During the Q1 Earnings Call, Tesla CFO Vaibhav Taneja confirmed that the company’s energy division had been impacted by the need to source cells from China-based suppliers. He went on to say that the company would work on “securing additional supply chain from non-China-based suppliers.”
It seems as if Tesla has managed to secure some of this needed domestic supply chain.
Energy
Tesla Shanghai Megafactory produces 1,000th Megapack for export to Europe
The Shanghai Megafactory was able to hit this milestone less than six months after it started producing the Megapack.

Tesla Energy has announced a fresh milestone for its newest Megapack factory. As per the electric vehicle maker, the Shanghai Megafactory has successfully produced its 1,000th Megapack battery.
The facility was able to hit this milestone less than six months after it started producing the grid-scale battery system.
New Tesla Megapack Milestone
As per Tesla Asia in a post on its official accounts on social media platform X, the 1,000th Megapack unit that was produced at the Shanghai Megafactory would be exported to Europe. As noted in a CNEV Post report, Tesla’s energy products are currently deployed in over 65 countries and regions globally. This allows Tesla Energy to compete in energy markets that are both emerging and mature.
To commemorate the 1,000th Megapack produced at the Shanghai Megafactory, the Tesla China team posted with the grid-scale battery with celebratory balloons that spelled “Megapack 1000.” The milestone was celebrated by Tesla enthusiasts on social media, especially since the Shanghai Megafactory only started its operations earlier this year.
Quick Megafactory Ramp
The Shanghai Megafactory, similar to Tesla’s other key facilities in China, was constructed quickly. The facility started its construction on May 23, 2024, and it was hailed as Tesla’s first entry storage project outside the United States. Less than a year later, on February 11, 2025, the Shanghai Megafactory officially started producing Megapack batteries. And by March 21, 2025, Tesla China noted that it had shipped the first batch of Megapack batteries from the Shanghai plant to foreign markets.
While the Shanghai Megafactory is still not at the same level of output as Tesla’s Lathrop Megafactory, which produces about 10,000 Megapacks per year, its ramp seems to be quite steady and quick. It would then not be surprising if Tesla China announces the Shanghai Megafactory’s 2,000th Megapack milestone in the coming months.
-
Elon Musk1 week ago
Elon Musk teases crazy new Tesla FSD model: here’s when it’s coming
-
Elon Musk5 days ago
Elon Musk confirms Tesla AI6 chip is Project Dojo’s successor
-
News5 days ago
Tesla Model Y L reportedly entered mass production in Giga Shanghai
-
Elon Musk6 days ago
Tesla CEO Elon Musk details massive FSD update set for September release
-
News2 weeks ago
Tesla takes first step in sunsetting Model S and X with drastic move
-
Cybertruck5 days ago
Tesla’s new upgrade makes the Cybertruck extra-terrestrial
-
Lifestyle2 weeks ago
Tesla brings perhaps the coolest interior feature to cars in latest update
-
News3 days ago
Elon Musk reaffirms Tesla Semi mass production in 2026