Tesla Energy has officially brought online its 300 MW Megapack installation at the Torrens Island Energy Hub in South Australia, marking a significant milestone for grid-scale battery storage in the Asia-Pacific region. The 1.2 GWh system, which took 14 months to complete, is now the largest battery energy storage system in the Southern Hemisphere.
The project, developed in partnership with AGL Energy and backed by the South Australian government, will provide critical grid stability services as the state pushes toward its target of 100% net renewable electricity by 2030. South Australia already generates more than 70% of its electricity from wind and solar, creating both opportunities and challenges for grid management.
The system uses Tesla fourth-generation Megapack units, each capable of storing 3.9 MWh of energy. The installation comprises 308 individual units arranged across a 12-hectare site. Unlike previous Megapack deployments, this system incorporates advanced liquid cooling technology that allows sustained discharge at full power for up to four hours, even in the extreme heat conditions common in South Australia.
According to AGL CEO Damien Nicks, the battery will participate in multiple revenue streams including frequency control ancillary services, energy arbitrage, and network support during peak demand periods. Early modeling suggests the system could generate annual revenues exceeding AU$45 million while reducing wholesale electricity price volatility by an estimated 8%.
Industry analysts view the project as a template for future large-scale deployments across Australia, where the combination of abundant renewable resources and an aging thermal generation fleet creates strong economic conditions for battery storage investment. BloombergNEF estimates that Australia will need 25 GW of new storage capacity by 2040 to support its clean energy transition.
