Energy
Tesla’s ‘virtual power plant’ in SA still alive after government official takes softer stance
Tesla’s proposed 250 MW/650 MWh virtual power plant for South Australia could still push through, as newly-elected premier Steven Marshall took a step back from his hardline approach and adopted a softer stance on the energy project.
In a recent statement, Marshall assured his constituents that existing renewable energy contracts from the previous administration, such as the Tesla SA virtual power plant, would not be unceremoniously discontinued under his government. With this in mind, the first two stages of Tesla’s plan for the virtual power plant, which involves the installation of solar panels and Powerwall 2 batteries to the first 1,100 homes in the network, could still proceed.
According to a report from Australia-based publication Renew Economy, Marshall’s change of heart with regards to Tesla’s virtual power plant appears to have been affected by the backlash he received after announcing that the project would “not be part” of his administration’s agenda. Spoken just before he was sworn into office, the brazen statement incited a lot of strong reactions from SA citizens, especially in social media.
A simple social media tally from the publication’s Facebook account, for one, showed that 88% of the social network’s users who reacted to the article gave a negative response to Marshall’s statements on Monday. The vast majority (73%) who responded to the news through Facebook even expressed outright anger at the premier’s comments.
Marshall’s bold statements on Monday expressing his lack of support for Tesla’s 250 MW/650 MWh virtual power plant appeared to be a knee-jerk reaction due to his political affiliation. On Monday, Marshall, who is from the Liberal Party, seemed to take an overly critical and dismissive stance on programs that the previous Labor-led government started, including plans that would benefit the region’s citizens.
As we noted in a previous report, Marshall wanted to replace Tesla’s virtual power plant plan with a $100 million government subsidy for 40,000 residential units. Under Marshall’s program, residents who already have solar panels installed in their homes would receive a $2,500 subsidy for home battery packs. Overall, the newly elected premier’s project would involve an upfront investment — something that Tesla’s target demographic for its ambitious initiative would likely not be able to provide.
From a financial standpoint, Tesla and the previous administration’s proposal for the 250 MW/650 MWh virtual power plant seems like a far more practical choice for the government. The virtual power plant’s upfront cost, which includes a $2 million grant and another $30 million from the Renewable Technology fund, after all, is lower than the $100 million that the government would have to invest in Marshall’s proposal.
If completed, the South Australia virtual power plant could provide about six times more energy than Tesla’s 100 MW/129 MWh Powerpack farm near Jamestown. Due to the aggregated design of the virtual power plant, the 50,000 households in the network could not only store power for themselves; they could also provide additional grid services when the need arises.
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.