Quantcast

Tesla's Massive Virtual Power Plant in South Australia Roars Back to Life

Renewable Energy
Powerwall residential battery with solar panels. Tesla

Tesla's plans to build the world's largest virtual power plant in South Australia will proceed after all.

The $800 million (US $634 million) project—struck in February by Tesla CEO Elon Musk and former South Australian Premier Jay Weatherill—involves installing solar panels and batteries on 50,000 homes to function as an interconnected power plant.


But the plan was nearly scrapped under the new state government headed by Liberal leader Steven Marshall, who was elected in March. Marshall's government had their own plan to offer discounts on battery storage for 40,000 homes.

In a happy twist, Energy Minister Dan van Holst Pellekaan announced at the Australian Energy Conference this week the newly elected government would proceed with both plans.

"It's very important to be clear about this—we are honoring the existing commitments around the Tesla virtual power plant (VPP)," he said, as quoted by Australia's ABC News.

Van Holst Pellekaan, who met with Tesla soon after he was sworn in, added that he wants South Australia to become a world leader in home battery installation.

By doubling down, the state will eventually emerge with some 100,000 household batteries, or more than one in ten homes, Renew Economy noted.

"We'll show the world how the mass adoption of home batteries can and will work," he said. "This is a complicated task—I don't think that anyone has attempted to do what we're about to do at this scale relative to population and market size."

The virtual power plant involves installing a 5-kilowatt solar system and a Powerwall 2 battery on roughly 50,000 low-income and social housing units across the state over the next four years. The setup would be installed at no charge to the households and financed through the sale of electricity. Participants would save an estimated 30 percent on their power bills.

"My government has already delivered the world's biggest battery, now we will deliver the world's largest virtual power plant," Weatherill said then. "We will use people's homes as a way to generate energy for the South Australian grid, with participating households benefiting with significant savings in their energy bills.

Tesla told AFP that the virtual power plant would have 250 megawatts of solar energy and 650 megawatt hours of battery storage.

"At key moments, the virtual power plant could provide as much capacity as a large gas turbine or coal power plant," the company added.

Van Holst Pellekaan also said at the Australian Energy Conference that the trial phase, which starts with installing home energy systems on 1,100 public housing properties, is currently proceeding.

EcoWatch Daily Newsletter

California Condor at soaring at the Grand Canyon. Pavliha / iStock / Getty Images

North America's largest bird passed an important milestone this spring when the 1,000th California condor chick hatched since recovery efforts began, NPR reported Sunday.

Read More Show Less
The Roloway monkey has been pushed closer to extinction. Sonja Wolters / WAPCA / IUCN

The statistics around threatened species are looking grim. A new report by the International Union for Conservation of Nature (IUCN) has added more than 9,000 new additions to its Red List of threatened species, pushing the total number of species on the list to more than 105,000 for the first time, according to the Guardian.

Read More Show Less
Sponsored
Golde Wallingford submitted this photo of "Pure Joy" to EcoWatch's first photo contest. Golde Wallingford

EcoWatch is pleased to announce our third photo contest!

Read More Show Less
BRENDAN SMIALOWSKI / AFP / Getty Images

The campaign to re-elect President Donald Trump has found a new way to troll liberals and sea turtles.

Read More Show Less
Night long exposure photograph of wildifires in Santa Clarita, California. FrozenShutter / E+ / Getty Images

By Kristy Dahl

Last week, UCS released Killer Heat, a report analyzing how the frequency of days with a dangerously hot heat index — the combination of temperature and humidity the National Weather Service calls the "feels like" temperature — will change in response to the global emissions choices we make in the coming decades.

Read More Show Less
Sponsored
A Zara store in Times Square, Causeway Bay, Hong Kong. Timahaowemi / CC BY-SA 3.0

Green is the new black at Zara.

The Spanish fast fashion behemoth has made a bold move to steer its industry to a more environmentally friendly future for textiles. Inditex, Zara's parent company, announced that all the polyester, cotton and linen it uses will be sustainably produced by 2025, as CNN reported.

Read More Show Less
Pexels

By Gavin Van De Walle, MS, RD

Whether you enjoy running recreationally, competitively, or as part of your overall wellness goals, it's a great way to improve your heart health.

Read More Show Less
Text from the plaque that will mark the site where Ok glacier once was. Rice University

By Andrea Germanos

A climate change victim in Iceland is set to be memorialized with a monument that underscores the urgent crisis.

Read More Show Less