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Tesla Energy to power SoCal through world’s largest lithium-ion battery storage project
Tesla Energy has announced that the company has been selected by Southern California Edison to provide a 20-Megawatt Powerpack system to the Mira Loma substation. According to the Silicon Valley energy company, the system will be the world’s largest lithium ion battery storage project when complete, and will be capable of powering more than 2,500 households for a day and charge 1,000 Teslas
Cells for the Powerpack commercial-grade energy storage unit will be produced at the company’s Gigafactory plant in Sparks, Nevada. Tesla says through its blog post, “The Gigafactory’s ability to produce at a large scale will allow this system to be manufactured, shipped, installed and commissioned in three months. The system will charge using electricity from the grid during off-peak hours and then deliver electricity during peak hours to help maintain the reliable operation of Southern California Edison’s electrical infrastructure which feeds more than 15 million residents.”
The project comes after a methane gas spill took place at Aliso Canyon in Southern California last October. Over 8,000 Californians were displaced after 1.6 million pounds of methane leaked into the atmosphere as a result of a rupture in the natural gas reservoir. Soon after the Governor of California declared a state of emergency, the state’s utilities commission spawned a project that would ultimately see an energy storage solution for LA. Tesla won the bid to provide an 20MW/80MWh battery storage solution that would allow utility companies to off load energy generation from off-peak hours to times of peak demand when electricity needs can be bursty.
Addressing Peak Energy Demand with the Tesla Powerpack
Last October, a catastrophic rupture in the Aliso Canyon natural gas reservoir caused a methane gas spill that displaced more than 8,000 Californians and released an unprecedented 1.6 million pounds of methane into the atmosphere. Today, the Aliso Canyon leak is considered the worst in U.S. history, with aggregate greenhouse gas emissions said to outweigh those of the 2010 Deepwater Horizon oil spill.
Following the disaster, authorities closed the Aliso Canyon facility, which had been feeding the network of natural gas peaker plants in the Los Angeles basin, deeming it unfit to store the fuel safely and environmentally.
One year later, Los Angeles is still in need of an electric energy solution that ensures reliability during peak times. As winter approaches, homes and buildings in the basin will need more natural gas for heat. These demands apply uncharacteristically high pressure to the energy system, exposing the Los Angeles basin to a heightened risk of rolling blackouts.
Following the leak, California Governor Jerry Brown issued a state of emergency, and in May, the California Public Utilities Commission mandated an accelerated procurement for energy storage. Southern California Edison, among other utilities, was directed to solicit a utility-scale storage solution that could be operational by December 31, 2016. Unlike traditional electric generators, batteries can be deployed quickly at scale and do not require any water or gas pipelines.
Last week, through a competitive process, Tesla was selected to provide a 20 MW/80 MWh Powerpack system at the Southern California Edison Mira Loma substation. Tesla was the only bidder awarded a utility-owned storage project out of the solicitation.
Upon completion, this system will be the largest lithium ion battery storage project in the world. When fully charged, this system will hold enough energy to power more than 2,500 households for a day or charge 1,000 Tesla vehicles.
The Gigafactory’s ability to produce at a large scale will allow this system to be manufactured, shipped, installed and commissioned in three months. The system will charge using electricity from the grid during off-peak hours and then deliver electricity during peak hours to help maintain the reliable operation of Southern California Edison’s electrical infrastructure which feeds more than 15 million residents. By doing so, the Tesla Powerpack system will reduce the need for electricity generated by natural gas and further the advancement of a resilient and modern grid.
In order to achieve a sustainable energy future, one which has high penetration of solar and electric vehicles, the world needs a two-way, flexible electric grid. The electric power industry is the last great industry which has not seen the revolutionary effects of storage. Working in close collaboration with Southern California Edison, the Tesla Powerpack system will be a landmark project that truly heralds the new age of storage on the electric grid.
Tesla CEO Elon Musk certainly tipped off some details of the Tesla Roadster event with a broadening of information regarding the company’s decision to delay the unveiling for two weeks.
For years, people have speculated about what the Roadster will be capable of. While there have been plenty of things said about what it *could* do, we have not seen or been told by Tesla what it will actually be capable of.
However, over the past few days, Tesla’s weather updates have truly pushed the speculation into Plaid Mode, basically all but confirming the car will have some sort of aerial capability — whether that would be hovering or fully flying remains to be seen — but it definitely seems that it will be able to leave the ground intentionally.
“Because this event can only be held outdoors…”
Tesla posted on Monday that it would delay the Roadster event until October 15, and it indicated that it had to do this because the event “can only be held outdoors.”
With the potential SpaceX collaboration to develop cold-gas thrusters that will help the vehicle go airborne, doing this indoors is probably not a safe, or even plausible, possibility.
Roadster event update
We’ve been tracking the weather closely with local meteorologists, but given the severe conditions predicted & because this event can only be held outdoors, we’ve made the difficult decision to reschedule.
New date is October 15. Additional details to…
— Tesla (@Tesla) September 28, 2026
FAA Airspace Restriction
The FAA gave Tesla a Temporary Flight Restriction (TFR) for 10,000 feet above ground level, much higher than the typical 2,000-foot restrictions that are usually placed at SpaceX’s McGregor, Texas site.
Tesla Roadster event requires restricted airspace, and the FAA obliges
Some have said that this massive increase is due to Tesla’s need to restrict unauthorized drone use for spying on the event.
Elon Admits High Winds
“Due to high winds, the new Roadster demo is postponed by 2 weeks,” Musk said in a post on X yesterday.
Due to high winds, the new Roadster demo is postponed by 2 weeks https://t.co/dV3ojDh1iT
— Elon Musk (@elonmusk) September 30, 2026
A reply reading, “What’s strong wind got to do with a car demo with four grounded wheels?” was directly below Musk’s post, satirically and sarcastically probing for more details.
All signs are pointing toward an aerial demonstration for the Roadster.
Tesla has secured $30 billion in fresh credit lines from Citibank and Wells Fargo in an effort to scale its biggest current projects.
Tesla agreed to a $20 billion three-year delayed-draw term loan facility from Citibank, it announced on Tuesday. Additionally, it signed a five-year, $8 billion revolving credit facility and a $2 billion, 364-day term credit facility with Wells Fargo.
In a filing with the Securities and Exchange Commission (SEC), that it “may draw” from the $20 billion delayed-draw term “from time to time” and “no more than ten times during the 18 months following the closing date.” This loan matures on September 29, 2029.
The five-year revolving facility from Wells Fargo will also be accessed by Tesla “from time to time,” and will become due and payable on September 29, 2031. Tesla can request two separate one-year extensions.
On the $2 billion, 364-day revolving loan, it becomes due and payable on September 28, 2027. Tesla can also increase its additional commitments to an additional $4 billion across the Revolving Facilities. This would increase the total facilities to $14 billion. Tesla said it does not plan to utilize any of these loans in 2026.
Tesla plans to utilize the money to help prop up its ambitions to scale its biggest products, each of which is either in early launch phases or still in development. Of course, we’re talking about Cybercab and Semi, which have launched, and Optimus, which is still under heavy development and working toward initial release.
All three Tesla products have one thing in common: they’ve all required Tesla to build new manufacturing lines for them.
For the Semi, Tesla built a brand new factory in Sparks, Nevada, adjacent to the Tesla Gigafactory. For Optimus, Tesla sunset Model S and X production at the Fremont Factory, which brought an end to the two flagship models, thus creating manufacturing space for the humanoid robot. Finally, Cybercab is being built at Gigafactory Texas and officially entered production earlier this year.
The cash will help Tesla bolster its finances for the continuing development of these products. Tesla said that it forecasts its CapEx to be over $25 billion, up from just over $8.5 billion last year. These loans surely help with that spending.
Elon Musk
Elon Musk and Trump are closer than ever, and Tesla could be the big winner
Elon Musk sat beside Trump as AI leaders signed a voluntary White House safety accord.
Elon Musk had the seat right next to President Donald Trump on Tuesday as the White House hosted the leaders of America’s biggest artificial intelligence companies for a lunch that ended with a voluntary industry accord on AI safety.
A seating chart Trump posted on Truth Social placed Musk at the president’s left in the East Room, with Nvidia CEO Jensen Huang on his right, according to an Associated Press reporter. Anthropic CEO Dario Amodei, OpenAI President Greg Brockman, Meta’s Mark Zuckerberg, Google’s Sundar Pichai, Microsoft’s Satya Nadella and Amazon founder Jeff Bezos also attended, along with Vice President JD Vance and House Speaker Mike Johnson.
🚨 Elon Musk is currently speaking to the media alongside President Trump after a meeting with AI Leaders in Washington today
Trump says AI is now being called “Super Intelligence” or SI pic.twitter.com/woJJqUVP9B
— TESLARATI (@Teslarati) September 29, 2026
After the lunch, Trump told reporters outside the West Wing that the executives had signed “The White House Accord on Superintelligence: A Joint Commitment on Frontier SI Responsibilities.” Johnson described it as a voluntary statement of principles built on “robust internal controls and layers of internal and external review,” while Zuckerberg said company boards would independently review reports from outside auditors. Trump called the document “morally binding,” said he would name a new AI czar within days, and signed an executive order formally renaming artificial intelligence “super intelligence,” CNBC reported.
Musk was not in the room for Tesla alone. Since SpaceX absorbed xAI, he runs the company behind Grok and one of the largest AI training operations anywhere. On September 25, he said another 220,000 Nvidia GB300 chips would come online at Colossus 2 within a week, with more expected in November and December.
“I think it is worth highlighting the positive benefits of A.I. … S.I., pardon me.”
“Thank you.”@elonmusk catches his own slip after calling the technology “A.I.” while speaking alongside President Trump and other tech leaders, quickly correcting himself to “super… pic.twitter.com/fH7CFileNb
— Fox News (@FoxNews) September 29, 2026
SpaceX confirms third massive compute deal at Colossus data center
Musk also used the trip to restate his energy ambitions. “SpaceX is aiming together with Tesla to do 200 gigawatts of solar production per year,” he said at an event in Washington. It is the same combined target he laid out that feeds directly into Terafab, the Tesla and SpaceX chip venture that will need enormous amounts of power.
The showing between Musk and Trump has come a long way, since the two had the very public split in mid 2025 after Musk opposed the “Big Beautiful Bill” and left DOGE. They reconciled at Charlie Kirk’s memorial that September, and Trump later called their relationship “good”. Since then, Musk has joined Trump’s China delegation in May and attended last week’s White House state dinner for Chinese President Xi Jinping.
For Tesla, that access to government official could pay dividends. As Teslarati noted in January, federal autonomy rules, NHTSA oversight and a single national standard for driverless vehicles all run through an administration Musk can more easily reach directly as Tesla works to scale Robotaxi and Cybercab beyond Texas.
Elon Musk weather update tips Tesla Roadster speculation into Plaid Mode
Tesla snags $30B in fresh credit lines for expanding its biggest projects
