Tesla Receives $54M Energy Storage System Order from Israeli Nofar Energy

by Eva Fox November 02, 2021

Tesla Receives $54M Energy Storage System Order from Israeli Nofar Energy

Image: Nofar Energy

Tesla has received another $54 million order for energy storage systems from Nofar Energy. The Israeli company believes that this energy storage system will enable them to build a solar project providing 200 MWh of electricity.

Israeli renewable energy company Nofar Energy has announced that it has signed another strategic agreement with Tesla. The agreement includes the purchase of large Tesla batteries for $54 million. Under the terms of the agreement, Nofar will pay Tesla 5% of the amount upon signing the agreement, with the rest according to certain milestones. Battery storage systems will be provided between January 2023 and March 2024.

This is the second agreement signed between the parties in 2021. In March 2021, Nofar bought $30 million worth of batteries from Tesla. The new expansion will increase the total storage capacity of the collaboration to approximately 300 MWh. Nofar notes that most of the storage systems from the 100 MWh agreement signed in February 2021 are already in the process of being set up or about to be.

The management of Nofar Energy estimates that its revenue from the construction of storage systems will be 250 million shekels (about $79.7 million), and the annual income from the sale of electricity (arbitration and network services) will be 20-50 million shekels (about $6.4 million - $16 million). Expansion of storage systems will allow the installation of additional solar systems at high rates in areas characterized by network congestion, which would be impossible without batteries.

A few weeks ago, Nofar completed the construction and connection of Israel's first Tesla storage facility at Kibbutz Shoval. The facility will be launched next week during a ceremony attended by Tesla executives as well as representatives from the Ministry of Energy and the Electricity Authority.

© 2021, Eva Fox | Tesmanian. All rights reserved.


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Article edited by @SmokeyShorts, you can follow him on Twitter

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