Image: Tesla
Tesla is bringing its Megapack energy storage technology to Puerto Rico as part of a massive grid modernization project aimed at ensuring greater reliability and resilience across the island.
Genera PR this week broke ground on a $60 million Battery Energy Storage System (BESS) at the Cambalache Power Plant in Arecibo, marking the start of construction on the first of six large-scale Tesla Megapack installations planned throughout Puerto Rico. The federally funded project will see the installation of 68 Tesla Megapack batteries totaling 52 MW of storage capacity. Tesla is expected to deliver the batteries in April 2026, with the system slated to go live by the end of that year.
“The installation of these storage systems represents a giant step in the modernization of Puerto Rico’s electrical system. With these batteries, we will be able to respond more efficiently to demand fluctuations, reduce our dependence on fossil fuels, and support the integration of new generation technologies,” said Iván Báez, Vice President of Public and Government Affairs at Genera PR.
“This translates into greater stability and fewer blackouts for our communities. At Genera, we work with transparency and a sense of urgency to transform the electrical grid responsibly and efficiently.”
Genera PR and Tesla signed a $533 million contract earlier this year for the installation of Megapacks at six power plants across the island. The broader project will add a total of 430 MW and 1,720 MWh of storage capacity across sites in Arecibo, Vega Baja, Palo Seco, Yabucoa, Aguirre, and Costa Sur. It represents Tesla’s largest-ever BESS deployment of this kind in the U.S.
The Megapack is Tesla’s flagship utility-grade battery storage solution. Built for grid-scale applications, each Megapack can store several megawatt-hours of energy and dispatch it on demand — helping utilities stabilize electricity supply, reduce costs, and better integrate renewable sources like solar and wind. Tesla’s Megapack systems have already become essential to large-scale battery projects worldwide, especially in the U.S. and Australia.
Tesla also recently received a record-breaking $2.7 billion order for Megapacks from Georgia Power earlier this summer, further underscoring the technology’s growing role in the global energy transition. And in September, the company unveiled its next-generation Megapack 3, a redesigned model that stores 5 MWh of usable AC energy per unit and features a more efficient, modular architecture for faster installation and improved long-term performance.
Tesla Energy has been enjoying record growth, posting $1.1 billion in gross profit for Q3 2025 — its best quarter yet.
The Cambalache BESS is just the first of several projects set to come online through 2027, with the full network expected to help reduce Puerto Rico’s annual energy production costs by up to $100 million and improve island-wide grid stability by 90%.
