According to foreign media reports, Tesla has reached a cooperation with Pacific Gas Power Company (PG&E), one of the largest power energy companies in the United States, to produce a giant battery system with a capacity of up to 1.1GWh for the latter. Electrek reported that the project is the largest one Tesla has initiated since 2015 and is located in California, USA. PG&E serves approximately 16 million people in central and northern California. It submitted approval requests for four new energy storage projects to the California Public Utilities Commission (CPUC) last week.

Tesla will provide battery packs for the new project, with a total output of 182.5MW and a duration of up to 4 hours. This means that the total installed capacity has reached 730MWh, which is equivalent to more than 3000 sets of TeslaPowerpack2.

Taking the 2016 data from the US Energy Information Administration as a reference, the average annual electricity consumption of U.S. residential utility company customers is 10,766 kWh, which means that the new project can provide electricity for about 100 households throughout the year.

If approved, the team’s first batch of projects is expected to go online before the end of 2019, and other projects are expected to go online before the end of 2020. Interestingly, this seems to be consistent with Musk’s goals.

In 2015, Musk initially announced that the future “Tesla Energy” will be used for projects with a scale of 1GWh. But to see this happen, you need to wait for three years.

At the end of 2017, Tesla made a bet with the South Australian government, saying that the company could complete the installation of the giant battery energy storage system within a hundred days, and use the method of peak and valley reduction to alleviate the local power outage crisis. finished.

Although Tesla is best known for building electric cars, from Australia to Puerto Rico, the company is redesigning the world’s power grid to make renewable energy cheaper.

The South Australia project has achieved great commercial success, and it is estimated that it has saved more than $30 million in just a few months. McKinsey partner GodartvanGendt said at the Australian Energy Week meeting in Melbourne in May this year:

In the first four months of operation of the Hornsdale energy storage project, the frequency of ancillary services was reduced by 90%. In South Australia, 100MW batteries have received more than 55% of FCAS revenue, that is, with 2% of production capacity, contributing 55% of revenue.

FastCompany reports that in just three years, the company has installed enough infrastructure to store a total of 1GWh of energy, which is critical for the efficient use of renewable energy.

Last year, Tesla contracted the world’s most general energy storage facilities. The development of 1.1GWh of new projects will double the capacity of its energy facilities.

It is worth mentioning that the battery storage cost of the entire industry continues to decline-from 2010 to 2016, it fell by 73%, that is, from 1,000 US dollars per KWh to 273 US dollars.

Bloomberg expects that by 2025, this cost will further drop to $69.5/KWh. We hope that Tesla’s continued efforts will inspire more opponents to join the competition to further accelerate this process.