Tesla launches next phase of Virtual Power Plant in South Australia

Tesla announced that the company is expanding its virtual power plant to another 3,000 homes in South Australia with the launch of phase four of the program, which includes Powerwall installations.

Tesla’s virtual power plant project in South Australia was designed to help low-income homes in the region have consistent and low-cost electricity. The area has been dealing with an inconsistent grid and expensive electricity costs for years as the government switches to more renewable sources. The program allows homeowners to receive subsidized Tesla solar arrays and Tesla Powerwalls to provide a stable electrical connection.

The program was announced in 2018 and kicked off with Tesla installing 1,000 Powerwalls in 2020. This week the local government confirmed 4,100 households have now had solar and Tesla Powerwalls installed, and the next phase of the project is set to launch soon with 3,000 more Powerwalls set to be installed in low-income households, according to an announcement by the company on Linkedin.

South Australia’s Department for Energy and Mining confirmed phase four would be funded entirely by Tesla and will save households hundreds of dollars per year.

The $33 million expansion, fully funded by Tesla, will make 3,000 more spots available for Housing SA tenants to join a program offering the cheapest residential electricity rate in South Australia. This expansion will save households up to $423 annually while also having battery backup and supporting our grid with renewable energy.

Tesla stepped up in the region after the company set up the Tesla Big Battery with Neoen to help stabilize the grid. However, after hearing from locals about their electricity costs and grid stability, Tesla wanted to help. The company worked with the local state government to find a solution to lower electricity costs for low-income homes and the virtual power plant has been operating since.

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