Tesla Megapack Planned for Mega-Storage System

May 17, 2024 by Jake Hertz

With 1.3 GWh capacity, the Megapack battery storage system will become Australia’s largest.

Renewable energy sources challenge consistent energy supply due to their intermittency. Solar and wind energy fluctuate with weather conditions, leading to periods of surplus and scarcity. Large-scale storage systems have become essential to maximize renewable utilization. These systems store excess energy during peak hours when demand is high or renewable sources are inactive. 

Tesla has deployed its Megapacks to form a massive 1.3 GWh battery system for storing renewable energy in Australia. The project will be one of the largest battery storage systems worldwide.



Megapack. Image used courtesy of Tesla


Renewable Intermittency

Renewable energy, including solar and wind, marine, hydroelectric, and geothermal, offer a more sustainable energy alternative. However, dependence on natural factors like sunlight and wind speed results in intermittency and affects their consistent availability. This intermittency in energy production leads to variability in power generation. Grid fluctuations create stability issues where the electricity supply may not always match the demand.  

Despite these challenges, renewable energy generation will remain central to transitioning to a sustainable energy system. The European Commission projects a significant increase in wind and solar energy generation by 2050, with wind expected to rise from 15% to 57% and solar from 5% to 19%, compared to 2020.


Growth in renewable energy

Growth in renewable energy. Image used courtesy of Energy Information Administration


To address these fluctuations, energy systems must integrate solutions to enhance grid stability and ensure a reliable electricity supply. One approach is to develop and deploy advanced energy storage technologies. These systems store renewable sources’ surplus energy during peak production and release it when renewable generation decreases. Additionally, smart grid technologies can dynamically balance the load by adjusting to changes in energy supply and demand in real-time.


Tesla's Gigantic Grid Solution

Tesla’s Megapack will power a massive record-breaking 1.3 GWh battery system for Neoen in Western Australia, marking the second stage of the Collie Battery project. The project will become the largest battery system in Australia and among the biggest globally.

The first stage of the Collie Battery project, already underway, consists of 224 Tesla Megapack 2XL units, providing 219 MW/877 MWh of capacity. The Tesla Megapack 2XL is a utility-scale energy storage solution that provides rapid deployment and high capacity for large-scale projects. Each unit offers 3.9 MW of power and 15.6 MWh of energy storage. It is approximately 7 feet tall, 14 feet wide, 50 feet long, and weighs around 60,000 pounds (27 metric tons). 


Concept of Tesla’s Megapack

Concept of Tesla’s Megapack. Image courtesy of Tesla


The basic storage component in the Tesla Megapack 2XL is the lithium-ion battery cell. These cells are assembled into battery modules and integrated into the Megapack units. Megapack’s modular design allows for easy scalability, connecting multiple units to meet project requirements.

The second stage, which the Australian Energy Market Operator awarded a 300 MW/4-hour capacity services contract for, will comprise 348 Tesla Megapack 2 XL units, totaling 341 MW/1,363 MWh. The project will connect to Western Power’s Palmer Terminal substation, which serves the South-West Interconnected System (SWIS) in Western Australia.


Future Prospects

Construction is expected to commence soon, with Tesla and UGL as the construction contractors. The second stage is projected to be operational by Q4 2025, providing significant grid services to SWIS, with the capacity to charge and discharge 20% of the average demand of the network.