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Tesla hikes Megapack prices as backlog extends to next year

Tesla is significantly increasing the price of the Megapack – its utility-scale battery pack – as the backlog of new orders extends into 2023.

Back in 2019, Tesla launched the Megapack; it was Tesla’s third stationary energy storage product after the Powerwall and Powerpack.

A single Megapack unit is a container-sized 3 MWh battery system with integrated modules, inverters, and thermal systems. With the bigger size and integrated power electronics, Tesla claims that the Megapack is 60% more energy-dense than its Powerpack. It also comes on-site ready to install and can ship in containers.

While exact pricing for the Megapack hasn’t been publicly released, we know that Tesla has priced it competitively because the product has become extremely popular with electric utilities.

We reported on massive-scale projects using the Tesla Megapack, like a battery project replacing a gas peaker in Ventura County and a huge 1 GWh project in Northern California.

Last summer, Tesla quietly launched a new online configurator for the Megapack and revealed a starting price of $1.2 million for a single Megapack:

Today, the price is much higher, starting at $1,537,910 for a single Megapack – though Tesla also apparently increased the energy capacity of the battery pack by about 1 MWh:

Now, most projects that utilize the Megapack don’t use just a single pack, and Tesla offers volume discount, but that seems to have gone down significantly as well.

Last year, Tesla listed a price of $9,999,290 for 10 Megapacks or $327.87 per kWh, whereas 10 Megapacks will run you $16,048,230 or $412, 37 per kWh. The annual maintenance cost remains the same, starting at $6,570, but it escalates at 2% per year.

The utility-scale battery pack is likely under cost pressures from inflation and supply chain issues like most other Tesla products.

Tesla is also enjoying a significant backlog of orders for the Megapack, since its delivery timeline for new orders doesn’t start until first quarter of 2023.

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