FYI: Tesla Secures Major Megapack Project in Belgium Worth $87 Million
Tesla is joining forces with Clean electricity provider Energy Solutions Group (ESG) to bring its Megapack grid-scale batteries to a new energy storage initiative in Harmignies, Belgium. As the latest effort in a growing list of global energy storage facilities, this project aims to revolutionize power supply management in the region.
Revamping an Icon: Transforming a Cement Factory
The ambitious undertaking will convert a former cement factory in the quaint village of Harmignies into a state-of-the-art battery energy storage system (BESS), powered by Tesla’s Megapacks. Boasting an impressive capacity of 75 MW/300MWh, the project is set to cost approximately 85 million euros, or about $87.4 million USD according to a recent report from De Tijd, a Dutch publication. This transformation is anticipated to wrap up by year-end.
Funding & Structure: Paving the Way for Renewable Energy
The funding model for the Harmignies project is as innovative as its purpose. Wallonie Entreprendre, a governmental entity, is supporting the project with a subordinated loan. Additionally, KBC is stepping in with bank credit. Revenue generation and electricity supply-demand management will rely on net operator Elia’s fees, highlighting a collaborative approach to sustainable energy solutions.
Historical Context: Belgium’s Largest BESS
This announcement follows closely on the heels of Belgium’s inauguration of its largest battery energy storage system in Wallonia last October. Powered by 40 Tesla Megapacks, the system offers a capacity of 50MW/100MWh and is operated by Corsica Sole. This earlier project was brought to fruition under the management of Mitsubishi subsidiary, Eneco, marking a significant milestone in Belgium’s transition to renewable energy.
Global Production Acceleration: A Tale of Two Megafactories
Tesla is not stopping at Belgium. The company has been significantly accelerating Megapack production worldwide. After setting up a massive production facility in Lathrop, California in 2022, Tesla celebrated the manufacture of its 10,000th Megapack in November. With an ambitious target of 10,000 units (40 GWh) annually, Lathrop is scaling up to meet burgeoning global demand.
Not resting on its laurels, Tesla has expanded its production capabilities to China with the establishment of another Megapack factory in Shanghai. Trial production at this new location has already begun, with a goal of equaling the Lathrop plant’s output of 10,000 units annually, propelling Tesla as a leader in the energy storage sector globally.
Conclusion: Navigating the Future of Energy Storage
With its eyes set on transforming the energy landscape, Tesla is strategically leveraging its technological innovations across the globe. The new Megapack project in Belgium underscores Tesla’s role as a vital player in the march towards clean, efficient, and reliable energy solutions.
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William Kouch, Editor of Automotive.fyi
