The economics for backup power alone just aren’t that attractive.
Tesla has quietly removed all references to its 10-kilowatt-hour residential battery from the Powerwall website, as well as the company’s press kit. The company’s smaller battery designed for daily cycling is all that remains.
The change was initially made without explanation, which prompted industry insiders to speculate. Today, a Tesla representative confirmed the 10-kilowatt-hour option has been discontinued.
“We have seen enormous interest in the Daily Powerwall worldwide,” according to an emailed statement to GTM. “The Daily Powerwall supports daily use applications like solar self-consumption plus backup power applications, and can offer backup simply by modifying the way it is installed in a home. Due to the interest, we have decided to focus entirely on building and deploying the 7-kilowatt-hour Daily Powerwall at this time.”
The 10-kilowatt-hour option was marketed as a backup power supply capable of 500 cycles, at a price to installers of $3,500. Tesla was angling to sell the battery to consumers that want peace of mind in the event the grid goes down, like during another Superstorm Sandy. The problem is that the economics for a lithium-ion backup battery just aren’t that attractive.