Tesla Acquires Significant Megapack Order from Clearway Energy
Tesla's Lathrop Facility to Boost Utility-Scale Energy Storage with Clearway Energy Project
In a significant development, Tesla's Lathrop facility in California, which is optimized for utility-scale battery production, will play a key role in a new energy storage project by Clearway Energy Inc. 1.
Clearway Energy, a leading renewable energy company, has announced a new energy storage project in Utah that will utilize 320 MW of Tesla's Megapacks. This new order will expand Clearway's existing fleet of Tesla Megapacks, currently at 520 MW/1,680 MWh 2.
The new order, worth approximately $450 million, will see the production of Megapack 2 XL units at Tesla's dedicated energy storage facility in Lathrop, California. Deliveries of the Megapack units are expected to begin in 2026 and will support Clearway's energy storage projects in California and Colorado 3.
Clearway's Vice President of Procurement, Frances Cook, stated that energy storage plays an essential role in the nation's energy security, affordability, and reliability. She also mentioned that the company's partnership with Tesla will help provide grid reliability services and integrate renewable energy sources 4.
Once both orders are delivered and operational, Clearway's Tesla-powered energy storage capacity will exceed 1 GW, further solidifying Tesla's position in the growing energy storage market 5.
Tesla's energy storage business is expanding, with utility and commercial customers investing in battery systems. While smaller than its automotive division, the energy storage business continues to grow to support renewable energy goals and grid stability 6.
Tesla has expanded Megapack production in recent years, opening two dedicated Megafactories in California and China. A third Megafactory for Tesla is planned to be located in Houston, Texas 7.
In addition to the Lathrop facility, Tesla has eight major manufacturing locations worldwide, including California (Fremont and Lathrop), Nevada, New York, Shanghai, Texas, Berlin, and Kato. The Lathrop factory is dedicated to utility-scale battery production, including Megapacks, while the Nevada Gigafactory focuses on battery cells, powertrains, and Powerwall systems 1.
References:
- Tesla Energy Storage Business
- Clearway Energy Inc. Orders 490 MW / 1,356 MWh Tesla Megapack Battery Energy Storage Systems
- Clearway Energy Inc. Announces New Energy Storage Project in Utah, Utilizing 320 MW of Tesla Megapacks
- Tesla Energy Storage Business Growing with Utility and Commercial Customers Investing in Battery Systems
- Clearway Energy's Vice President of Procurement, Frances Cook, Discusses the Importance of Energy Storage for the Nation's Energy Security, Affordability, and Reliability
- Tesla's Energy Storage Business Continues to Grow to Support Renewable Energy Goals and Grid Stability
1. The $450 million order for Megapack 2 XL units from Clearway Energy will see Tesla's Lathrop facility, known for utility-scale battery production, further enhancing its role in the industry.
2. With the addition of 320 MW of Tesla Megapacks, Clearway Energy's existing fleet will increase to more than 840 MW, demonstrating a significant expansion in the finance and technology sectors of the energy industry.
