Tesla Batteries Stand to Have a Significant Impact on Future Energy

The impact of Tesla batteries is storming both the automotive and the solar industry. Before Tesla, the auto industry’s concern and ambition to develop pure electric vehicles (PEVs) that would surpass cars with internal combustion engines was practically non-existent. With the introduction of their now phased out Roadster and their newest Model S, they’ve grabbed public attention and now lead the industry in PEVs.

Tesla automobiles, particularly the Model S can travel anywhere from 208-300 miles on one charge. Their Supercharge network, which is a chain of stations that recharge Tesla batteries, is taking the globe by storm. In late 2014, they adopted destination charging where Tesla consumers can recharge their vehicles in 350 locations in North America and 800 worldwide. These stations are primarily located in hotels, casinos, ski resorts, restaurants, shopping centers, airports and mobile phone stores. They continue establishing more stations at a rapid pace.

Strategic Planning For the Future

These power charging stations are no accident. They’re part of a well-thought-out plan. By 2017, the company intends to launch an affordable electric car costing approximately $35,000. At this lower price, it will attract a larger consumer group. By 2020, they expect to be selling 500,000 per year. An all-electric SUV is rumored to be in development as well, but the cost isn’t yet known.

If Tesla accomplishes this goal, it will allow their brand to dominate the automotive industry in PEVs. Their plan goes beyond the massive establishment of recharging stations across the globe. They’ve also initiated expansion methods at their plant in Fremont, CA and are looking at manufacturing possibilities in several overseas locations to accommodate mass production. CEO Elon Musk has also implemented the development of a $5 billion plant in Nevada called The Gigafactory to support the demand of Tesla batteries in the future.

But Tesla isn’t just limited to the auto industry.

Tesla Batteries in Homes

A new home battery called The Powerwall is being released later in 2015. Starting at $3,000, it’s approximately 4 feet high and 3 feet wide and can be mounted on a wall or other surface, either outdoors or inside. It stores backup power, minimizes the use of utilities during peak-times and can perhaps enable homeowners to get off the commercial power grid entirely in the near future. What makes it so attractive right now is the fact that it can supplement household energy for people with solar panels when the sun isn’t out. The batteries are guaranteed for ten years right now and for homes using larger amounts of energy, multiple batteries can be installed.

The cost of solar panels, even just a few years ago, was considerably more than it is now. As solar energy continues to gain in popularity, prices will continue to drop down, thus increasing the chances of Tesla attaining its sales goal set for 2020. The Gigafactory, once in full swing, is also expected to help drive Tesla battery costs way down.

While competitors such as GM, BMW and Volkswagon do exist, it’s apparent that Tesla batteries stand to hold a significant impact on both the automobile and the solar industry in the very near future.

Philipp Kandal