Tesla Megapacks Power Ørsted's 500 MWh Texas Battery
SkimNews Take
Tightening ERCOT supply margins are pushing major developers like Ørsted to standardize on Tesla Megapacks, suggesting the storage business is decoupling from the auto brand's reputation and settling into baseline grid infrastructure.
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- Tesla Megapacks are supporting the Texas grid at Ørsted's new 250 MW/500 MWh Old 300 Storage project in Needville, southwest of Houston, which is now fully connected to the ERCOT grid and can deliver 250 MW for two hours at full output
- Tesla built the Megapacks at its Megafactory in Lathrop, California, which the source describes as the largest industrial utility-scale BESS factory in the US; each unit delivers about 1.9 MW and 3.85 MWh with battery modules, inverters, thermal management, and controls integrated
- Old 300 Storage sits adjacent to Ørsted's 430 MW Old 300 Solar (operating since 2024), but the battery and solar farm operate independently — the BESS can charge from and discharge to the wider ERCOT grid, not just the neighboring solar plant
- Ørsted expects the combined solar and battery projects to generate around $110 million in property tax revenue for local schools, infrastructure, and emergency services, while Old 300 Solar already serves roughly 80,000 Texas homes and businesses annually
- Melissa Peterson, president of Ørsted Americas Onshore, said battery energy storage has played a large role in providing much-needed power to ERCOT during tight supply-demand margins, particularly relevant given Texas's climbing demand and extreme-weather swings
- Tesla claims more than 58 GWh of industrial storage systems are now operating in over 65 countries, and this 500 MWh deployment adds to Ørsted's US onshore portfolio, which now totals around 6 GW
Why it matters: Ørsted's project adds 500 MWh to Tesla's stationary storage business and expands Ørsted's US onshore portfolio to around 6 GW, reinforcing grid reliability in ERCOT where demand is climbing and extreme weather can sharply tighten supply margins. The deployment underscores continued utility-scale demand for Megapacks produced at Tesla's Lathrop Megafactory.
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