Tesla inks deal with WA to build megapack servicing plant next to huge Collie battery

Western Australia’s coal town of Collie is set to host a Tesla battery “remanufacturing” facility as part of a new deal between the Australian arm of Elon Musk’s energy storage and electric vehicle giant and the state Labor government.

The facility, which would be used to service, repair and renew Tesla’s battery products, would be co-located with Neoen’s Collie battery project – one of the biggest battery energy storage systems (BESS) under construction in Australia with a final-stage capacity of 560 MW and 2,240 MWh.

A tripling in the size of the Collie BESS was announced by Neoen in April last year, signalling a remarkable transition in the coal-town of Collie, where the state’s remaining coal fired power generators are expected to be shuttered within the next five years.

The first stage of the battery, already completed, is sized at 219 MW and 877 MWh, while a second stage that is under construction will add another 341 MW, 1363 MWh. Both stages are using Tesla Megapack batteries.

WA Labor says a Memorandum of Understanding to develop the remanufacturing project was signed in December between state premier Roger Cook and Tesla Motors Australia.

The facility is expected to employ up to 50 local workers once it reaches full capacity and will service Tesla’s grid-scale Megapack batteries and other Tesla products installed in Western Australia.

The WA government says the plant could also service residential Powerwall batteries once it is fully scaled up, as well as electric vehicle charging equipment.

“This partnership is a great win for WA and particularly for Collie, supporting local jobs servicing batteries from not just our state but potentially the wider Asia-Pacific region,” Cook said on Friday.

“Collie has been the heart of our energy system for the past century, and projects like this mean Collie will have a bright future as WA transitions away from coal.”

For Tesla, the remanufacturing plant will provide faster support for local customers while reducing logistical costs and emissions.

“Neoen has played a key role in opening new markets and expanding battery storage across the country,” said Tesla regional director of energy, APAC, Josef Tadich.

“We’ve worked closely with Neoen since 2017 on the original big battery, and their recent efforts in WA have unlocked this fantastic opportunity for growth.”