A few days ago, the Texas Public Utility Commission (PUC) said that it was creating a memo to address issues that Commissioner McAdams touched upon in the July 11 workshop. To recap, Tesla Energy has been working with the PUC and the Electric Reliability Council of Texas (ERCOT).
The focus is on educating the utility and the commission about the benefits of allowing Tesla Powerwall customers in Texas to participate in virtual power plants (VPPs).
Tesla’s U.S. Energy Markets Policy Lead, Arushi Sharma Frank has been present at every meeting and has been working diligently to advocate for clean energy and Tesla Energy’s Texas customers.
The Memo
The previously mentioned future memo addresses some of the issues that Commissioner McAdams brought up in the July 11 workshop. He and Commissioner Glotfelty co-authored the memo.
The memo reads as follows:
As discussed during the June 16, 2022, Open Meeting and July 11, 2022, Aggregated Distributed Energy Resources (DER) Pilot Workshop, we support efforts to create a pilot project to test impacts of small-scale DER aggregation in the ERCOT market.
The pilot will answer questions related to how aggregated distributed generation can support reliability, enhance the wholesale market, incentivize investment, potentially reduce transmission and distribution investments, and support better load management during emergencies.
In the short term, we expect the pilot will bring in vital megawatts (MWs) of resources for participation in the ERCOT market.
ERCOT staff are required to prepare and present a governing document detailing the project scope to ERCOT’s board of directors.
The PUC will form a Task Force to identify operational obstacles to launching a pilot program and to assist ERCOT in drafting the governing document.
The next meeting to discuss the purpose and structure of the Task Force will be held on July 28, 2022. The governing document should be presented to the ERCOT board by October 11, 2022, so that it can meet a desired pilot start in the first quarter of 2023.
The Guiding Principles
The memo included five guiding principles that the commissioners want the pilot project to consider. They are:
- Understand the impact of having ancillary services carried on the distribution system.
- Create a structure that incentivizes competition and attracts broad DER participation through load-serving entities (LSEs).
- Measure the impacts of relieving or causing congestion on the distribution system, and study how to transition distribution-level aggregations to more granular dispatch and settlement.
- Ensure adequate customer protection is in place and information is anonymized.
- Start simple while ensuring economies of scale exist on a MW [megawatt] basis to attract broad participation. The pilot parameters should have the flexibility to progress to more complex scenarios as participation increases.
Project Scope.
This next section of the memo addresses the governing document that shares the project scope with ERCOT’s board of directors. These topics are scale, duration, transmission and distribution utilities participation, interchange of customers, and reliability.
The following is from the memo detailing each topic:
- Scale – Aggregations should be constrained within a load zone, with a single LSE, and served by the same transmission and distribution service provider (TDSP) with the potential for DER Management Systems (DERMS) aggregators to participate in the future. Participating TDSPs may limit pilot area based on feeder availability and information provided by LSEs related to their DER customers.
- Duration – The pilot should continue until implementation of ERCOT market rules to accommodate aggregation or until ERCOT deems the pilot project unnecessary. We expect a minimum of 3 years which will allow for incorporation of EMS upgrades, testing of customer migration, and qualifying resources for ERCOT services.
- TDSP Participation – It is imperative that competitive area transmission and distribution utilities (TDUs) and non-opt-in entities (NOIEs) participating in the pilot are willing participants and actively engaged to ensure safety and quality of experience to their customers. We expect reliability to be the ultimate consideration by TDSPs for qualifying DER customers.
- Interchange of Customers – The acquisition of customers should be handled by the LSE with terms and conditions to provide relevant operational data and a good customer experience that prioritizes affordability and reliability.
- Reliability – TDSPs should have the ability to manage participation considering system constraints, regular maintenance, and emergency situations. ERCOT in participation with the TDSPs shall be enabled to mitigate operational hazards and demands in this new era of transmission and distribution management.
You can read the full memo here. Have tips? You can email them to johnna@teslarati.com.
Elon Musk
Google just picked SpaceX for its first step into orbital AI
Google will launch its first Project Suncatcher AI satellite on SpaceX’s Transporter-18 rideshare next week.
Google is about to put its own AI chips into orbit for the first time, and it is paying SpaceX to get them there.
The company said Thursday that the first in-orbit test of Project Suncatcher, its research effort to find out whether space can host large-scale AI computing, will fly next week on SpaceX’s Transporter-18 rideshare mission.
The satellite, called MVP, is about the size of a refrigerator and carries four of Google’s Tensor Processing Units, the same chips Google runs in its ground data centers. Google originally planned to launch two custom satellites in 2027, but chose to move faster by integrating its chips into a satellite.
MVP’s solar panels supply about one kilowatt of power, and Google will run Gemini models on the TPUs only in bursts of roughly 15 minutes before the chips shut down so the radiators can shed heat. In a blog post, Google said its Trillium TPUs survived vibration testing that mimicked sustained launch loads of up to 10g, with individual components seeing 50 to 100g, and handled a radiation dose greater than a five year mission would deliver.
SpaceX and Google mull massive partnership on Musk’s orbital data dream: report
Next week’s flight, slated for October 1, follows a relationship that became public in May, when Teslarati reported that Google was in talks with SpaceX for a launch deal tied to orbital data centers. Google also holds a stake of roughly 6% in SpaceX.
The two companies are chasing the same idea from very different starting points. SpaceX’s own orbital compute program is built around the AI1 satellite, a roughly 70 meter structure derived from Starlink V3 hardware that is designed for 150 kW of peak compute, about 150 times the power MVP will draw. Elon Musk has brushed off concerns about crowding orbit with those satellites, and SpaceX is building its Gigasat factory in Bastrop, Texas, to produce them, targeting an annualized rate of about 1 GW of space compute by the end of 2027.
Musk also posted on X on Thursday that “the amount of compute in space will obviously round up to 100% of all compute.”
Google has been more cautious in public. Its research estimates that launch prices need to fall below about $200 per kilogram before an orbital data center can compete with a ground facility on energy cost, a threshold the company believes could be reached around the mid 2030s. The Suncatcher team has said it expects the effort to remain a project rather than a product for years, which leaves the first real test of its hardware riding on a rocket from the company with the most aggressive timeline in the field.
Energy
Tesla Semi factory is getting a celebration nobody expected
Tesla will inaugurate its Nevada Semi factory September 24, five months after production quietly began ramping.
Tesla says it will officially inaugurate its new Semi factory in Nevada next month. The Tesla Semi account posted the announcement on X, sharing a graphic titled “Semi Rollout” with a date of September 24. No further details were given about the format of the event or who would attend.
While Tesla’s dedicated Semi plant in Sparks, adjacent to Gigafactory Nevada, opened back in April, with the first trucks rolling off the high volume line on April 29, the timing for the factory inauguration comes at a surprise. The ribbon cutting event five months into production is a break from how Tesla has usually handled its other factories, where the first truck or car off the line typically served as the milestone moment.
Inauguration of new Semi factory in Nevada next month pic.twitter.com/a8kAlxrOOn
— Tesla Semi (@tesla_semi) August 24, 2026
The 1.7 million square foot factory was built as part of a $3.6 billion expansion Tesla announced in early 2023, and it shares a site with the battery cell lines that feed the Semi’s structural pack, a decision meant to remove the supply bottleneck that delayed the truck for years. The plant is designed for 50,000 trucks a year at full ramp. Semi program director Dan Priestley has said production “is now ramping” rather than claiming it has reached scale.
Nine years passed between the Semi’s 2017 unveiling and this stage of production, with the truck slipping from an original 2019 target through hand built pilot units for PepsiCo and a slow build out of the Nevada plant. An inauguration event now gives Tesla a stage to talk up that ramp and reset expectations for how many trucks it can begin delivering at scale.
The September date also lines up with the Semi’s next milestone. Tesla confirmed the truck is heading to Europe with a full unveiling at the IAA Transportation trade show in Hannover, Germany, running September 15 through 20. Between the Nevada event and the Hannover reveal, Tesla has roughly a week and a half in September to make the case that the Semi is now a truck being built and sold on two continents rather than tested in a handful of fleets.
Tesla Energy has introduced the Powerwall Lease in conjunction with Tesla Electric, making the service available in Texas. This new option delivers whole-home backup power using two Powerwall units for a net monthly cost of $35 after credits, accompanied by a low fixed electricity rate.
Under the lease terms, customers pay a one-time order fee of $100. The base lease payment for the two Powerwalls is approximately $122 per month during the first year, subject to a 3 percent annual escalator thereafter. Enrollment in a qualifying Tesla Electric Backup plan or Virtual Power Plant plan provides an $87 monthly credit.
Powerwall Lease is now available with Tesla Electric in Texas
Whole-home backup for $35/month, with a low fixed electricity rate
– Two Powerwalls, $0 installation
– Storm Watch outage protection
– One app to manage it all pic.twitter.com/oTzqc6K3aF— Tesla Energy (@teslaenergy) August 13, 2026
This credit lowers the effective cost to roughly $35 per month plus applicable tax.
Installation of the standard system carries no additional charge. The package features Storm Watch for outage protection and allows complete management through a single Tesla application. The system supplies continuous whole-home backup capability.
The Powerwall system enables households to maintain electricity during severe storms that disrupt the utility grid. When outages occur, the batteries automatically provide seamless backup power to the home.
Tesla announces 100k Powerwalls are participating in Virtual Power Plants
Tesla Storm Watch monitors weather forecasts and ensures the units are fully charged ahead of anticipated severe weather events so that power remains available throughout the disruption, keeping lights, refrigeration, and other essential systems operating without interruption.
Availability is restricted to select Texas locations where retail electric choice exists. Participants must lease exactly two Powerwall units and maintain continuous enrollment with Tesla Electric. Solar panels cannot be included under this particular lease arrangement.
The monthly credit activates automatically once the system is installed, receives permission to operate, and enrollment is confirmed. To retain the credit, customers are required to stay enrolled in Tesla Electric and fulfill all program conditions.
Nonstandard installations that involve electrical upgrades or special permitting may lead to extra expenses and might impact eligibility for the credit, so be sure to check with either your installer or Tesla to ensure you will still qualify.
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