The Collie Battery Stage 1 in Western Australia, featuring Tesla Megapacks, is now fully operational, delivering vital grid support just 18 months after construction began.
The project, developed by renewable energy giant Neoen, went live on October 1, 2024, ahead of schedule. With a capacity of 219 MW / 877 MWh, this battery stores energy during the day and discharges it in the evening to meet peak demand, helping stabilize the grid as coal-fired plants phase out.
The battery, managed through a two-year contract with the Australian Energy Market Operator (AEMO), is part of Western Australia’s strategy to support more rooftop solar and other renewable energy sources.
Collie Battery Stage 2, which will add 341 MW / 1,363 MWh, is already under construction and expected to launch in late 2025.
“We are extremely proud to have delivered the largest battery in Western Australia in record time. I would like to thank everyone who has worked tirelessly to make this happen: Western Power, Tesla and UGL as well as AEMO and the Western Australian Government. We are delighted to be contributing a storage project of this scale and duration. With over 2 GW of projects in our pipeline in WA, we are committed to continuing to play our part in the State’s energy transition,” said Jean-Christophe Cheylus, Neoen Australia’s Chief Executive Officer.
This is Neoen’s first major project in WA, developed in partnership with Tesla, UGL, and Western Power. Once both stages are complete, the combined Collie Battery will be capable of handling 20% of average energy demand across the South-West Interconnected System (SWIS).
With Western Australia aiming to retire all state-owned coal plants by 2030, projects like these are key to ensuring the transition to cleaner energy.
As for Tesla, its energy division saw record gross margin of 30.5% in Q3 2024. Business is booming, yet again.
Tesla revealed that its Megafactory in Lathrop, California is now producing 200 Megapacks per week. With an annual production capacity of 40 GWh, the Lathrop facility plays a crucial role in meeting the growing demand for Tesla’s large-scale energy storage systems.
Tesla is also expanding its battery production with a new Megafactory in Shanghai, set to begin shipping Megapacks by Q1 2025. The Shanghai factory will start operations with an annual capacity of 20 GWh, further boosting Tesla’s ability to supply energy storage solutions globally.