Moneycontrol PRO
you are here: HomeNewsBusiness

Tesla awaiting nod to become retail electricity provider in Texas

An application was submitted by Tesla Energy Ventures -- a wholly-owned subsidiary of Tesla -- with the Public Utility Commission in Texas earlier this month to become a retail electricity provider.

August 27, 2021 / 04:06 PM IST
A Tesla Gigafactory (Source: ShutterStock)

A Tesla Gigafactory (Source: ShutterStock)

Billionaire businessman Elon Musk’s Tesla is looking to provide electricity directly to consumers in Texas, CNBC reported.

An application was submitted by Tesla Energy Ventures -- a wholly owned subsidiary of Tesla -- with the Public Utility Commission in Texas earlier this month. Tesla mentioned in the application that it wants to build two huge, 250-megawatt batteries -- one of which will be at its new factory near Austin, and the other outside Houston. Tesla aims to connect a 100-megawatt energy storage system to the grid to directly supply power to Texans.

Notably, Elon Musk’s name was not listed on the Tesla Energy Ventures application as Tesla’s director of regulatory credit trading Ana Stewart is the president of the subsidiary.

If Tesla gets the nod of the authorities concerned as a retail electricity provider in Texas, Tesla Energy Ventures will use Tesla’s energy division’s workforce to help drive sales and provide customer care service.

Multiple utility-scale energy storage systems have also been built by Tesla including one near Los Angeles, another in California, and two in Australia. However, the company has not shown interest in functioning as a retail electricity supplier in any of these areas. Instead, the big batteries built by Tesla are provided to other companies to help them with generating, storing, and consuming energy.

Close

There are around 120 other companies that sell electricity to customers in Texas. They were hit by a cold snap last winter, which left many Texans without power supply for days.

And since the Texas grid is isolated from the rest of the United States, power could not be transmitted from other states either.
Moneycontrol News
first published: Aug 27, 2021 04:06 pm
Sections
ISO 27001 - BSI Assurance Mark