Tesla hikes Megapack prices as backlog grows until next year

Tesla is significantly increasing the price of the Megapack — its utility-scale battery pack — as its backlog of new orders expands into 2023.

Back in 2019, Tesla launched the Megapack; It was Tesla’s third stationary energy storage product after the Powerwall and PowerPack.

A single megapack unit is a container sized 3 MW battery system with integrated modules, inverters and thermal systems. With the larger size and integrated power electronics, Tesla claims the MegaPack is 60% more energy-intensive than its PowerPack. It also comes on site ready to be installed and can ship in containers.

While exact pricing for the Megapack hasn’t been released publicly, we do know that Tesla has priced it competitively as the product has become extremely popular with electric utilities.

We reported on large-scale projects using the Tesla Megapack, such as a battery project to replace a gas drinker in Ventura County and a massive 1 GWh project in Northern California.

Last summer, Tesla quietly launched a new online configurator for the Megapack and revealed a starting price of $1.2 million for a Megapack:

Today, the price is much higher, starting at $1,537,910 for a megapack – although Tesla also apparently increased the battery pack’s energy capacity by about 1 megawatt:

Now, most projects that use Megapack don’t just use one pack, and Tesla offers volume discounts, but it seems to have dropped significantly.

Last year, Tesla listed a price of $9,999,290 for 10 megapacks, or $327.87 per kWh, while 10 megapacks would run you $16,048,230 or $412.37 per kWh. Annual maintenance costs remain the same, starting at $6,570, but increasing at a rate of 2% per year.

Utility-scale battery packs are likely to be under cost pressure from inflation and supply chain issues like most other Tesla products.

Tesla is also enjoying a significant backlog of orders for the megapack, as the delivery timeline for new orders doesn’t begin until the first quarter of 2023.

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