Energy
North Carolina creates state’s first microgrid laboratory, using Tesla Powerpacks
On a bitterly cold day in March 2015, power was interrupted from mainland Hatteras, North Carolina to an offshore island, Ocracoke. The reason? “Galloping lines,” or ice on the power lines that shorts out electricity delivery. Tideland Electric Membership Corporation, which supplies the island’s electricity, resorted to the only alternative: it fired up the island’s 3-megawatt generator, but electric demand exceeded the generator’s capacity numerous times that day. If you live on the Ocracoke, this was just one more instance of having to do without electrical power due to extreme weather.
But that’s all about to change.
With the installation of Tesla batteries and solar panels at the island’s generator, Ocracoke will become the state’s first microgrid laboratory. Tesla shipped ten of the 4,000-lb. Tesla Powerpack batteries combined to North Carolina Electric Membership Corporation’s (NCEMC) generating plant on Odd Fellows Lane. Tideland installed the 1 MWh photovoltaic system on December 13. “We’re setting up here for the electricity of the future,” said NCEMC’s Bob Beadle, project manager, as he participated in the installation.
The initiative is a pilot project from NCEMC, which owns the island’s generator, and Tideland. “This is a learning laboratory for Tideland,” said Heidi Jernigan Smith, Tideland spokesperson. “We’re exploring the potential for a microgrid.” She added that Ocracoke’s challenging coastal environment offered an ideal experiment site.
When connected to the grid, the batteries are charged during periods of low demand and store energy. The electricity is available to the grid when demand peaks and power is more expensive. While the batteries do not have the capacity to power Ocracoke during an outage, they will be able to assist the generator. “The Tesla batteries could potentially help us get over that start-up load,” Smith said. “It will be interesting to learn what benefits can be derived from the various microgrid components over time.”
The project will help all constituents to gain knowledge about how community microgrids can become another mechanism for regional electric service. “This is new territory for everyone,” Smith admitted. “We’re gaining valuable information for the future.”
The U. S. Department of Energy defines a microgrid as “a group of interconnected loads and distributed energy resources within clearly defined electrical boundaries that acts as a single controllable entity with respect to the grid and that connects and disconnects from such grid to enable it to operate in both grid-connected or island mode.” Microgrids are an emerging segment of an electrical system infrastructure that helps isolated or remote areas become independent of large, centrally controlled power plants. As they draw upon efficient, renewable energy resources, microgrids in places like Ocracoke can provide data about the role of new technologies in future electric service delivery.
Another Tesla island project earlier this year on the American Samoa island of T’au, at 1.4 megawatts, can cover “nearly 100%” of its 600 residents’ electrical needs.
“Tideland is pleased to serve as host for NCEMC’s first microgrid project and the opportunity it affords our employees to learn about next generation energy technologies,” said Paul Spruill, Tideland’s chief executive officer and general manager. “We are also appreciative of our sister co-ops across the state for funding this project, which will all stand to gain from our collective knowledge base as the energy industry evolves.” The next time that the power is interrupted, Ocracoke may be able to manage its limited power resources as an independent system.
Smart technology is interwoven into Ocracoke’s microgrid in another way, too. 130+ Ocracoke homes have installed Ecobee thermostats from Tideland. Another example of the Internet of Things (IoT), these devices allow Tideland remote access to residents’ thermostat settings. Tideland can reduce energy usage during times of peak electricity. Homeowners can also use smart phones or other computers to monitor and control their thermostat settings, with expected saving of up to 23% on a monthly utility bill.
Source: Ocracoke Observer
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Energy
Tesla Lathrop Megafactory celebrates massive Megapack battery milestone
The Tesla Megapack is the backbone of Tesla Energy’s battery deployments.
The Tesla Lathrop Megafactory recently achieved a new milestone. As per the official Tesla Megapack account on X, the Lathrop Megafactory has produced its 15,000th Megapack 2 XL battery.
15,000 Megapack Batteries
Tesla celebrated the milestone with a photo of the Lathrop Megafactory team posing with a freshly produced Megapack battery. To commemorate the event, the team held balloons that spelled out “15,000” as they posed for the photo.
The Tesla Megapack is the backbone of Tesla Energy’s battery deployments. Designed for grid-scale applications, each Megapack offers 3.9 MWh of energy and 1.9 MW of power. The battery is extremely scalable, making it perfect for massive energy storage projects.
More Megafactories
The Lathrop Megafactory is Tesla’s first dedicated facility for its flagship battery storage system. It currently stands as the largest utility-scale battery factory in North America. The facility is capable of producing 10,000 Megapack batteries every year, equal to 40 GWh of clean energy storage.
Thanks to the success of the Megapack, Tesla has expanded its energy business by building and launching the Shanghai Megafactory, which is also expected to produce 40 GWh of energy storage per year. The ramp of the Shanghai Megafactory is quite impressive, with Tesla noting in its Q1 2025 Update Letter that the Shanghai Megafactory managed to produce over 100 Megapack batteries in the first quarter alone.
Tesla Energy’s Potential
During the first quarter earnings call, CEO Elon Musk stated that the Megapack is extremely valuable to the energy industry.
“The Megapack enables utility companies to output far more total energy than would otherwise be the case… This is a massive unlock on total energy output of any given grid over the course of a year. And utility companies are beginning to realize this and are buying in our Megapacks at scale,” Musk said.
Energy
Tesla Megapacks powers the xAI Colossus supercomputer
Tesla Megapacks step in to stabilize xAI’s Colossus supercomputer, replacing natural gas turbines. Musk’s ventures keep intertwining.
Tesla Megapack batteries will power the xAI Colossus supercomputer in Memphis to ensure power stability. The collaboration between Tesla and xAI highlights the synergy among Elon Musk’s ventures.
The artificial intelligence startup has integrated Tesla Megapacks to manage outages and demand surges, bolstering the facility’s reliability. The Greater Memphis Chamber announced that Colossus, recently connected to a new 150-megawatt electric substation, is completing its first construction phase. This transition addresses criticism from environmental justice groups over the initial use of natural gas turbines.
“The temporary natural gas turbines that were being used to power the Phase I GPUs prior to grid connection are now being demobilized and will be removed from the site over the next two months.
“About half of the operating turbines will remain operating to power Phase II GPUs of xAI until a second substation (#22) already in construction is completed and connected to the electric grid, which is planned for the Fall of 2025, at which time the remaining turbines will be relegated to a backup power role,” the Chamber stated.
xAI’s rapid development of Colossus reflects its ambition to advance AI capabilities, but the project has faced scrutiny for environmental impacts. The shift to Megapacks and grid power aims to mitigate these concerns while ensuring operational continuity.
The Megapack deployment underscores the collaboration among Musk’s companies, including Tesla, SpaceX, Neuralink, and The Boring Company. Tesla appears to be the common link between all of Musk’s companies. For example, The Boring Company built a tunnel in Giga, Texas. In addition, Musk has hinted at a potential collaboration between the Tesla Optimus Bot and Neuralink. And from January 2024 to February 2025, xAI invested $230 million in Megapacks, per a Tesla filing.
Tesla Energy reported a 156% year-over-year increase in Q1 2025, deploying 10.4 GWh of storage products, including Megapacks and Powerwalls. Tesla’s plans for a new Megapack factory in Waller County, Texas, which is expected to create 1,500 jobs in the area, further signal its commitment to scaling energy solutions.
As xAI leverages Tesla’s Megapacks to power Colossus, the integration showcases Musk’s interconnected business ecosystem. The supercomputer’s enhanced stability positions xAI to drive AI innovation, while Tesla’s energy solutions gain prominence, setting the stage for broader technological and economic impacts.
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.
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.
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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