Elon Musks Tesla Motors has confirmed to Buzzfeed news that next weeks announcement of a major new Tesla product line dangled teasingly from Musks Twitter account in March will be the Tesla home battery and, perhaps more interestingly, a very large utility-scale battery.
Tesla VP of investor relations Jeff Evanson confirmed: Musk will explain the advantages of our solutions and why past battery options were not compelling, hinting that the Tesla treatment to innovation is coming the way of the home and utility-scale storage market.
As co-founder and chairman of SolarCity which this week unveiled a $1 billion fund for commercial rooftop installations in the U.S. Musk is methodically working towards a Tesla-SolarCity pincer movement on the U.S. home and energy markets, bridging the gap between electric vehicles, distributed solar energy generation, and home storage.
However, it is the utility-scale battery that is proving most intriguing. Musk has already confirmed that the much-anticipated home battery will be a Lithium-Ion (Li-Ion) product manufactured at the companys $5 billion gigafactory in Nevada, delivered with the help of Panasonic. By leveraging an already enrapt customer base of Tesla vehicle owners, the benefits of a Tesla-backed home battery should already be clear for thousands of consumers.
Add SolarCitys happy customers to the mix the company controls close to 40% of the U.S. residential solar market and this next venture could be off to a flying start. Tesla has already piloted consumer batteries in a handful of U.S. residences and businesses (including Wal-Mart, a large SolarCity customer), and while the current retail price of its 10 kWh battery is $13,000, costs are expected to fall dramatically over the coming years. Additionally, some states have energy efficiency rebates that could potentially cut that cost in half.
Analysis by Morgan Stanley forecasts that the Tesla-SolarCity combo could prove a game-changing disruption for energy markets as more and more people are able to afford to live off grid, a revolution that in turn will help push battery storage costs below $100/kWh. Currently, Tesla motor batteries cost $300/kWh.
Utilities worried by these developments have been thrown a bone by Teslas utility-scale battery announcement, which although further details are currently scarce is likely to be equally as potentially game-changing for grid operators energy storage ambitions. Is Musk about to put his money where his mouth is and come good on his pledge earlier this year that solar and utilities really can co-exist?
The time, date and place to find out is April 30, PST 8pm, at Teslas Design Studio in Hawthorne, California.
This content is protected by copyright and may not be reused. If you want to cooperate with us and would like to reuse some of our content, please contact: email@example.com.
By submitting this form you agree to pv magazine using your data for the purposes of publishing your comment.
Your personal data will only be disclosed or otherwise transmitted to third parties for the purposes of spam filtering or if this is necessary for technical maintenance of the website. Any other transfer to third parties will not take place unless this is justified on the basis of applicable data protection regulations or if pv magazine is legally obliged to do so.
You may revoke this consent at any time with effect for the future, in which case your personal data will be deleted immediately. Otherwise, your data will be deleted if pv magazine has processed your request or the purpose of data storage is fulfilled.
Further information on data privacy can be found in our Data Protection Policy.