In a surprising move, Tesla has announced that it is looking to sell its very first virtual power plant in South Australia. Tesla has a history with the energy industry in Australia, having launched several projects including its 'big battery' project. South Australia faces electric grid issues and high electricity costs.
During the launch of the big battery, Tesla CEO Elon Musk discussed the challenges faced by low-income families due to high electricity prices. He pledged to help solve the issue and later reached a deal with the South Australian government to install solar arrays and Powerwalls on homes, aiming to lower electricity rates.
However, the virtual power plant fell short of its 50,000 home goal. Tesla is now looking to sell the plant, which is distributed in 7,000 homes with a 35 MW capacity and 70% coupled with solar power. The company is seeking buyers in Australia to continue expanding the system.
It is speculated that Tesla's focus on launching its own electricity retailer in Australia may be the reason for selling the virtual power plant. The value of a 35 MW virtual power plant is yet to be known, potentially shaping the market for buying and selling such plants.