$106 Million Tesla Megapack Battery Facility Goes Live in California

A massive new Tesla-powered battery energy storage system (BESS) has officially come online in San Diego, California (via 10News). Located in Barrio Logan, the Peregrine Energy Storage Project cost $106 million and was developed by clean energy firm Arevon. It uses Tesla’s Megapack technology and is designed to store enough electricity to power 200,000 homes for two hours during peak demand periods each day.

The 200 MW BESS installation represents a major milestone for grid resiliency in the region, helping to stabilize the electrical grid and reduce strain during California’s hottest hours. “We’ve been operating Tesla Megapacks for a number of years and we’ve had zero safety incidents,” said Arevon CEO Kevin Smith, emphasizing the reliability of Tesla’s utility-scale battery systems.

Tesla’s Megapacks have quickly become the go-to choice for grid-scale energy storage worldwide, playing a central role in projects from Nevada and Hawaii to Japan, Australia, China, and across Europe. Just last month, Megapacks were tapped to power China’s largest grid-scale battery power plant, further reinforcing their growing global dominance in energy storage.

Earlier this week, Tesla also marked a major production milestone, celebrating the 1,000th Megapack produced at its new Megafactory in Shanghai — less than a year after hitting 10,000 units produced at its Lathrop, California, plant. To support growing demand, Tesla recently signed a $4.3 billion deal with LG Energy Solution for U.S.-made LFP (lithium iron phosphate) batteries, reportedly for use in products like Megapack.

With the Peregrine Project now live and more deployments underway worldwide, Tesla’s Megapack platform continues to reshape how power grids manage energy, especially as renewable sources scale.