Energy
Tesla to partner with NY utility company on battery storage system
Orange and Rockland Utilities, a utility provider that is part of Consolidated Edison, Inc., recently submitted a proposal to collaborate with Tesla in the creation of a battery storage solution for New York residents. With the system in place, O&R expects its customers to see up to a 70% reduction in the demand charges on their electricity bills.
The Consolidated Edison utility provider submitted the proposal for the project on February 6 to the New York Public Service Commission. If the initiative does get approved, Tesla would be working closely with the utility provider to develop multi-use strategies that balance dispatch among stakeholder groups, including consumers who would be participating in the project.
Orange & Rockland further teased that the project would involve the creation of two 2 MW/4 MWh portfolios. One of these battery installations would be deployed to service commercial and industrial sites while the other would be built at one or two ongoing solar projects. Tesla would be tasked with the development of the battery system that will be used in the project.
In a statement to the American Public Power Association, O&R described how it would collaborate with the Elon Musk-led electric car maker and energy firm to complete and eventually operate the proposed project.
“These strategies will be guided by algorithms and protocols, designed by Tesla, to deliver optimal dispatch for the aggregated portfolio, maximizing the portfolio value among customers, the distribution grid, and Tesla. Under this demonstration, the flexible operating characteristics of distributed energy storage will be employed to obtain the highest value use of the resource at any point in time.”
If approved, O&R expects the NY battery storage system to earn up to $788,000 annually. From these earnings, 90% of the wholesale market revenue will be given to O&R to offset the project’s cost, while the remaining 10% will be given to Tesla. Overall, the Edison Consolidated utility provider remains optimistic about the proposed battery storage system.
“When energy storage is deployed for multiple value streams, the amount of value and revenue generated on a per unit basis increases to capture previously idle storage capacity for productive use. This additional revenue means that multi-use applications of energy storage can be economically viable in locations where single-use applications are not,” the utility provider stated, according to the APPA.
If approved, Tesla and O&R’s NY battery project will be part of the Reforming the Energy Vision (REV), a comprehensive energy strategy started by New York Governor Andrew M. Cuomo, which aims to promote and foster the adoption of clean energy in the state.
Tesla’s participation in the proposed NY battery solution comes at a time when the California-based electric car and energy company is attempting to increase its saturation of the energy sector. In Tesla’s recently released Q4 earnings report, the Elon Musk-led firm stated that it is aiming to deploy at least three times the storage capacity it rolled out in 2017. Tesla seeks to accomplish this by engaging in energy projects, both local and abroad.
As we noted in a recent report, Tesla is attempting to build a massive 250 MW/650 MWh virtual power plant in South Australia using residential solar panels and its Powerwall home battery pack. Tesla’s Powerpack Farm at the Hornsdale wind farm near Jamestown also continues to exceed expectations, providing backup power to the region’s beleaguered energy grid since starting its operations late last year.
Energy
Tesla Powerwall distribution expands in Australia
Inventory is expected to arrive in late February and official sales are expected to start mid-March 2026.
Supply Partners Group has secured a distribution agreement for the Tesla Powerwall in Australia, with inventory expected to arrive in late February and official sales beginning in mid-March 2026.
Under the new agreement, Supply Partners will distribute Tesla Powerwall units and related accessories across its national footprint, as noted in an ecogeneration report. The company said the addition strengthens its position as a distributor focused on premium, established brands.
“We are proud to officially welcome Tesla Powerwall into the Supply Partners portfolio,” Lliam Ricketts, Co-Founder and Director of Innovation at Supply Partners Group, stated.
“Tesla sets a high bar, and we’ve worked hard to earn the opportunity to represent a brand that customers actively ask for. This partnership reflects the strength of our logistics, technical services and customer experience, and it’s a win for installers who want premium options they can trust.”
Supply Partners noted that initial Tesla Powerwall stock will be warehoused locally before full commercial rollout in March. The distributor stated that the timing aligns with renewed growth momentum for the Powerwall, supported by competitive installer pricing, consumer rebates, and continued product and software updates.
“Powerwall is already a category-defining product, and what’s ahead makes it even more compelling,” Ricketts stated. “As pricing sharpens and capability expands, we see a clear runway for installers to confidently spec Powerwall for premium residential installs, backed by Supply Partners’ national distribution footprint and service model.”
Supply Partners noted that a joint go-to-market launch is planned, including Tesla-led training for its sales and technical teams to support installers during the home battery system’s domestic rollout.
Energy
Tesla Megapack Megafactory in Texas advances with major property sale
Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet.
Tesla’s planned Megapack factory in Brookshire, Texas has taken a significant step forward, as two massive industrial buildings fully leased to the company were sold to an institutional investor.
In a press release, Stream Realty Partners announced the sale of Buildings 9 and 10 at the Empire West industrial park, which total 1,655,523 square feet. The properties are 100% leased to Tesla under a long-term agreement and were acquired by BGO on behalf of an institutional investor.
The two facilities, located at 100 Empire Boulevard in Brookshire, Texas, will serve as Tesla’s new Megafactory dedicated to manufacturing Megapack battery systems.
According to local filings previously reported, Tesla plans to invest nearly $200 million into the site. The investment includes approximately $44 million in facility upgrades such as electrical, utility, and HVAC improvements, along with roughly $150 million in manufacturing equipment.
Building 9, spanning roughly 1 million square feet, will function as the primary manufacturing floor where Megapacks are assembled. Building 10, covering approximately 600,000 square feet, will be dedicated to warehousing and logistics operations, supporting storage and distribution of completed battery systems.
Waller County Commissioners have approved a 10-year tax abatement agreement with Tesla, offering up to a 60% property-tax reduction if the company meets hiring and investment targets. Tesla has committed to employing at least 375 people by the end of 2026, increasing to 1,500 by the end of 2028, as noted in an Austin County News Online report.
The Brookshire Megafactory will complement Tesla’s Lathrop Megafactory in California and expand U.S. production capacity for the utility-scale energy storage unit. Megapacks are designed to support grid stabilization and renewable-energy integration, a segment that has become one of Tesla’s fastest-growing businesses.
Energy
Tesla meets Giga New York’s Buffalo job target amid political pressures
Giga New York reported more than 3,460 statewide jobs at the end of 2025, meeting the benchmark tied to its dollar-a-year lease.
Tesla has surpassed its job commitments at Giga New York in Buffalo, easing pressure from lawmakers who threatened the company with fines, subsidy clawbacks, and dealership license revocations last year.
The company reported more than 3,460 statewide jobs at the end of 2025, meeting the benchmark tied to its dollar-a-year lease at the state-built facility.
As per an employment report reviewed by local media, Tesla employed 2,399 full-time workers at Gigafactory New York and 1,060 additional employees across the state at the end of 2025. Part-time roles pushed the total headcount of Tesla’s New York staff above the 3,460-job target.
The gains stemmed in part from a new Long Island service center, a Buffalo warehouse, and additional showrooms in White Plains and Staten Island. Tesla also said it has invested $350 million in supercomputing infrastructure at the site and has begun manufacturing solar panels.
Empire State Development CEO Hope Knight said the agency was “very happy” with Giga New York’s progress, as noted in a WXXI report. The current lease runs through 2029, and negotiations over updated terms have included potential adjustments to job requirements and future rent payments.
Some lawmakers remain skeptical, however. Assemblymember Pat Burke questioned whether the reported job figures have been fully verified. State Sen. Patricia Fahy has also continued to sponsor legislation that would revoke Tesla’s company-owned dealership licenses in New York. John Kaehny of Reinvent Albany has argued that the project has not delivered the manufacturing impact originally promised as well.
Knight, for her part, maintained that Empire State Development has been making the best of a difficult situation.
“(Empire State Development) has tried to make the best of a very difficult situation. There hasn’t been another use that has come forward that would replace this one, and so to the extent that we’re in this place, the fact that 2,000 families at (Giga New York) are being supported through the activity of this employer. It’s the best that we can have happen,” the CEO noted.
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