In February 2021, the entire Texas power system found itself in a devastating mess. A surprise cold snap pushed the grid to the brink and left millions of Texans without power and safe water, killing hundreds. Disconnected from the national grid, Texas was also unable to buy power from other states. It was a terrible situation and one that no Texan ever wants to see a repeat of again. With this in mind, Tesla has taken aim at trying to aid in reliable power supply. It has filed an application to sell electricity in Texas and follows plans for a big battery build out in which Tesla is aiming to connect at least two major energy storage systems to the state power grid.
Tesla’s application to take part in the Texas power system and market was first reported by Texas Monthly on August 26, 2021. Establishing a new subsidiary in Tesla Energy Ventures, led up by company director of regulatory credit trading Ana Stewart, Tesla filed its application to sell energy on the retail market in the state in mid-August. An answer on whether the application is approved or not is expected in November 2021.
If approved, Tesla would become a major player in a market that already has 120 different power companies dealing in the business of the energy grid. It would also install multiple large scale batteries to the grid. One would be a 250-megawatt battery near its under-construction Gigafactory in Austin where it intends to build and ship Cybertrucks and Model Y SUVs. The other would be a 100-megawatt battery that would be placed outside of Houston in Angleston.
Elon Musk, Tesla, and further ventures such as SpaceX have expanded heavily into Texas in the last year. As such, when power failed February, Elon Musk was among those on Twitter who criticized the Electric Reliability Council of Texas for its failure to be prepped for such an emergency.
.@ERCOT_ISO is not earning that R— Elon Musk (@elonmusk) February 17, 2021
It will be interesting to see if Tesla Energy Ventures is approved for business on the Texas power grid, and further if the additions it wishes to make to the grid can lead to a more reliable system. Stay tuned as we continue to follow this story for details and updates.
TJ Denzer posted a new article, Tesla files application to sell electricity in Texas
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