Elon Musk, CEO of Tesla, announced in 2015 that the electric vehicle company will enter the energy business. Now it’s starting to lift. In its earnings report for the fourth quarter of 2020, the company said battery usage increased 83% in 2020, thanks in part to the popularity of the megapack that stores energy for utilities.
Renewable energies such as sun and wind require battery storage when the wind is not blowing and the sun is not shining. As nations around the world set goals for the transition to renewable energy, the demand for these large storage systems increases. According to Grand View Research, grid-sized battery storage is expected to become a market of $ 15 billion by 2027.
CNBC visited PG & E’s Tesla Megapack facility in Moss Landing, Calif., And learned why energy storage systems like Tesla may be widely available for renewable energy in the future. Watch the video for an inside look at Tesla’s energy business.