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Tesla’s success in Australia opens up opportunity for 2nd big battery project in country

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Following Tesla’s successful deployment of the world’s largest battery in South Australia, carrying out CEO Elon Musk’s 100-day target to install a grid-scale Powerpack battery unit, or the system would be freeanother state in the land down under has lined up as Tesla Energy’s next customer. As noted in a recent report from the Sydney Morning Herald, Victoria has joined South Australia in its push towards a large-scale renewable energy system.

Tesla’s South Australia Powerpack facility currently stands as the largest lithium-ion battery of its kind on the planet. Powered by clean energy from Neoen’s Hornsdale Wind Farm near Jamestown, the mammoth 100 MW/129 MWh battery is capable of powering up to 30,000 homes during blackout periods.

According to the Australian Energy Market Operator (AEMO), the Powerpack system in SA has already proven itself multiple times since it was completed, providing ample backup power and other grid services hundreds of times in December 2017 alone. More notably, Tesla’s energy system recently supplied emergency power to one of Australia’s biggest coal-fired power stations after it experienced an unexpected loss of power on December 14.

The notable success of Tesla’s South Australia facility seems to be a significant driving force for the state of Victoria, which ultimately decided to pursue a contract with the California-based electric carmaker and energy firm to install its very own Powerpack system. Victoria’s batteries would be installed in Bulgana, though at 20 MW, the system would only be 1/5th the size of South Australia’s facility.

Franck Woitiez, managing director of Neoen, a French energy firm and Tesla’s partner in the SA Powerpack system, is optimistic about the potential of Victoria’s batteries. According to the Neoen executive, the Bulgana Powerpack system might even be enough to provide adequate support for the area’s power grids in the near future.

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“The performance of the South Australian battery is outstanding. The Bulgana battery is primarily going to provide energy to Nectar Farms and may support the grid in the future,” he said, according to a SMH report.

Musk Australia

Tesla’s 100 MW/129 MWh Powerpack system dubbed as the ‘World’s largest battery’ in Jamestown, Australia

Energy officials in Victoria are also equally excited about Tesla’s upcoming Powerpack system. According to energy minister Lily D’Ambrosio, the Elon Musk-led energy company’s forthcoming project would play a vital role in Victoria’s pursuit of renewable energy.

“(The agreement is) a major step forward for communities, businesses and the renewable energy industry. This project will reduce greenhouse gas emissions while helping meet Victoria’s renewable energy generation targets,” the energy minister said. 

John Grimes, head of the Smart Energy Council, further stated that the clean energy initiatives of South Australia, and now Victoria, are but the beginning. Grimes also said that 2018 might very well be a pivotal year for renewable energy.

“What we’re seeing with the South Australian battery, what we’re seeing in Victoria, is really the tip of the iceberg for a pipeline of projects that’s coming along. This is a breakout year for energy storage.”

Tesla’s South Australian Powerpack system initially captured the public’s eye after Elon Musk and fellow billionaire Mike Cannon-Brookes, who co-founded Atlassian, conducted a friendly wager on Twitter. During the two billionaires’ Twitter exchange, Musk raised the stakes of the bet by declaring that Tesla would build a working Powerpack system for SA in 100 days or it would be free. Not long after, South Australia became home to Tesla’s largest lithium-ion battery system in the world.

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla launches first Virtual Power Plant in UK – get paid to use solar

Tesla has launched its first-ever Virtual Power Plant program in the United Kingdom.

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Credit: Tesla Energy | X

Tesla has launched its first-ever Virtual Power Plant program in the United Kingdom. This feature enables users of solar panels and energy storage systems to sell their excess energy back to the grid.

Tesla is utilizing Octopus Energy, a British renewable energy company that operates in multiple markets, including the UK, France, Germany, Italy, Spain, Australia, Japan, New Zealand, and the United States, as the provider for the VPP launch in the region.

The company states that those who enroll in the program can earn up to £300 per month.

Tesla has operated several VPP programs worldwide, most notably in California, Texas, Connecticut, and the U.S. territory of Puerto Rico. This is not the first time Tesla has operated a VPP outside the United States, as there are programs in Australia, Japan, and New Zealand.

This is its first in the UK:

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Tesla is not the only company that is working with Octopus Energy in the UK for the VPP, as it joins SolarEdge, GivEnergy, and Enphase as other companies that utilize the Octopus platform for their project operations.

It has been six years since Tesla launched its first VPP, as it started its first in Australia back in 2019. In 2024, Tesla paid out over $10 million to those participating in the program.

Tesla VPP program in California hits new capacity milestone

Participating in the VPP program that Tesla offers not only provides enrolled individuals with the opportunity to earn money, but it also contributes to grid stabilization by supporting local energy grids.

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Tesla Lathrop Megafactory celebrates massive Megapack battery milestone

The Tesla Megapack is the backbone of Tesla Energy’s battery deployments.

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Credit: Tesla Megapack/X

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.

https://twitter.com/Tesla_Megapack/status/1932578971700638203

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.

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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.

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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.

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(Credit: Tesla Megapack)

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.

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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.

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