Tesla, NatPower agree $4–5B deal to deploy 25 GWh battery storage in Europe
TSLA•Tesla and NatPower inked a multiyear agreement to deploy over 25 GWh of Megapack battery storage across five projects in Italy and the U.K., targeting more than 100 GWh of capacity. The initiative entails $4–5 billion in construction spend and could generate over $15 billion in revenues over 20 years.
1. Deal Overview
Tesla and NatPower signed a multiyear agreement to install more than 25 GWh of Megapack battery energy storage capacity across five initial projects in Italy and the U.K., with a long-term ambition to exceed 100 GWh of installed capacity.
2. Financials and Revenue Potential
The companies anticipate a total construction expenditure of $4–5 billion and project that the battery portfolio could generate over $15 billion in revenues across a 20-year operational horizon.
3. Technology and Operations
Tesla will supply its Megapack systems and Autobidder trading optimization software, while NatPower will own and operate the facilities, streamlining hardware provision, construction services and trading under a unified framework.
4. Strategic Implications
This large-scale deployment addresses grid stabilization needs, supports rising electricity demand from AI and renewables, and demonstrates a replicable model for scaling storage infrastructure across European markets.
