How Much Does A Tesla Powerwall Cost? (Value guide)

The cost of the Tesla Powerwall has been up for debate since its release, with figures ranging in various directions.

To date, there have been approximately 250,000 Tesla Powerwalls installed across the globe, spanning from the United States to Australia.

So why is the cost of a Tesla Powerwall still somewhat of a mystery to most? Surely we have enough real-world applications to establish an accurate estimated cost?

One such reason could be that the cost of a Tesla Powerwall differs from location to location.

For this reason, we thought it necessary to conduct our own study to provide our readers with some further insight into the issue.

In this article, we’ll establish how much you can expect to pay for a Tesla Powerwall if it’s worth the money, and what you can expect regarding a return on your investment.

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How Much Does A Tesla Powerwall Cost?

As of September 2022, the total cost of installing one Tesla Powerwall battery is $12,500 excluding any solar tax incentives.

PowerwallCost
1 Powerwall Battery$12,500
2 Powerwall Batteries$20,500
3 Powerwall Batteries$28,500
4 Powerwall Batteries$36,500
5 Powerwall Batteries$45,000
6 Powerwall Batteries$53,500
7 Powerwall Batteries$62,000
8 Powerwall Batteries$70,500
9 Powerwall Batteries$79,000
10 Powerwall Batteries$87,500
Tesla Powerwall costs (including installation/excluding incentives)

A Tesla Powerwall will cost between $12,500 – $87,500, depending on the amount of Powerwalls you’d like installed. Generally, most homes will require a minimum of 2 – 4 days of power autonomy in the event of a prolonged blackout, which depending on your electricity consumption, will require around 1 – 2 Tesla Powerwalls.

When establishing our Tesla Powerwall quote, we spoke with a Tesla representative who informed us that the prices we listed above-included installation costs.

He also informed us that currently, you’re not able to purchase the Tesla Powerwall individually; it must be combined with a Tesla solar system installation.

Taking this information into consideration, you can expect your costs to go up. By how much exactly depends on the type and size of the solar system you get installed.

Tesla Powerwall cost

But on average you could expect to pay an extra amount of between $12,000 – $30,360 for Tesla solar panels, and much more if you want an actual Tesla Solar Roof installed.

Related Reading: How much is a Tesla?

Solar Incentives

It is, however, important not to forget about solar tax incentives.

As of 2022, you can expect a 30% solar tax reduction in your Tesla Powerwall cost, bringing the price down to a more manageable amount.

Check out your expected costs after the tax reduction.

PowerwallCostIncl. Tax Incentives
1 Powerwall Battery$12,500$8,750
2 Powerwall Batteries$20,500$14,350
3 Powerwall Batteries$28,500$19,950
4 Powerwall Batteries$36,500$25,550
5 Powerwall Batteries$45,000$31,500
6 Powerwall Batteries$53,500$37,450
7 Powerwall Batteries$62,000$43,400
8 Powerwall Batteries$70,500$49,350
9 Powerwall Batteries$79,000$55,300
10 Powerwall Batteries$87,500$61,250
Tesla Powerwall costs (including installation & tax incentives)

In August 2022 Congress passed an extension of the ITC, raising it from 26% to 30%. This extension will last from 2022 – 2032.

Please note: According to Solar Energy Industries Association (SEIA), for a Tesla Powerwall to qualify for the savings of the Federal Tax Credit, it must “derive 100% of its power from an onsite solar array.”

Is A Tesla Powerwall Worth The Money?

To establish whether the Tesla Powerwall is worth the money, we need to put it up against some of its competitors.

Below we’ve created a comparison table indicating total unit price, LCOS, and warranty incentives. You’ll have a clearer idea of which option gives you the best value for money by doing this.

Levelized Cost of Storage (LCOS) is a system’s most accurate cost estimation. It considers the total number of charge/discharge cycles over its lifespan. This value is expressed in USD/kWh and compares the total cost of different ESS systems.
ESS SystemCostLCOS/kWhWarranty
Tesla Powerwall$12,500$0.2510 Years
Alpha ESS – Smile 5$7,700$0.1610 Years
Fortress Power eVault$15,300$0.2310 Years
LGE ESS Home$12,000$0.3510 Years
SONNEN Core$12,500$0.3410 Years
Simpliphi Access$21,375$0.3810 Years
Enphase$14,000$0.3810 Years

Based on our above comparisons, all ESS systems have a warranty of 10 years. When considering our LCOS, we can see that the Tesla Powerwall comes in at 3rd place amongst its competitors.

  1. Alpha ESS – Smile 5
  2. Fortress Power eVault
  3. Tesla Powerwall
  4. SONNEN Core
  5. LGE ESS Home
  6. Enphase
  7. Simpliphi Access

However, Tesla undoubtedly has the most extensive service area (globally) amongst its competitors, which may further influence your purchasing decision.

There’s no point buying an ESS that you cannot install at home; with Tesla, you run the lowest chance of this happening.


So Is The Tesla Powerwall Worth The Cost?

Tesla Powerwall Alternatives

We do believe that the Powerwall is a smart addition to your home’s overall electric system and that it’s worth the cost. We see 3 distinct advantages to this energy storage solution:

  • A reliable source of electricity by acting as a back-up power in case of power outage (13.5kWh).
  • Enables solar energy self-consumption for partial or full off-the-grid home.
  • Time-based control energy consumption (self-consumption during electricity peak-hours).

Does a Tesla Powerwall Save You Money?

As of June 2022, the average U.S. electricity cost is $0.15 per kWh. Comparing this to Tesla’s Powerwall LCOS, we can see that using a Powerwall will cost you about $0.16 more per kWh.

However, Tesla’s LCOS is still cheaper than the cost of electricity in Hawaii ($0.44 per kWh).

As a result, Powerwalls are not commonly bought by homeowners to save money but rather because they live in areas that experience frequent power outages.

Investing in a Powerwall for these circumstances would save headaches rather than money.

Alternatively, they are also bought by homeowners looking to rely less on fossil fuels and more on their home’s renewable energy source.

For homeowners looking to save the maximum amount of money, investing in a grid-tied solar system may make more sense.

Tesla Powerwall Payback Period

As previously discussed, a Tesla Powerwall is unlikely to save you money (unless you live in Hawaii). Therefore, working out a Tesla Powerwalls payback period is next to impossible.

However, we’re able to figure out the payback period of both a Tesla Powerwall and their solar system combined.


Let’s Do Some Maths

We’ll assume you live in California and spend about $115 a month on electricity for our assessment.

According to Tesla, in conjunction with the amount of peak sun hours California experiences, this sort of energy consumption will require that you install a 4.80 kW solar system with 1 Tesla Powerwall. This should allow for 2 days of winter/cloudy day autononmy.

  • 4.8 kW Solar Panels: $12,096
  • 13.5kWh Tesla Powerwall: $12,500
  • Tax Incentive: $7,378

$12,500 + $12,096 = $24,596

$24,596 – $5,860 = $17,218

Seeing as the above-mentioned solar system will offset approximately 102% of your energy consumption, you’ll be saving $115 every month.

Therefore: $17,218 / $115 = 149 months.

It will take 12 years for your Tesla Powerwall/solar system to make a return on investment.

Now, remember this assumes you live in California and only require a 4.8kW solar system.

If you live in a less sunny location or without a solar tax incentive, it will take you much longer to pay it off because your initial investment will be much more significant.


Final Thoughts

We hope this article sheds some more light on the actual cost of a Tesla Powerwall; this way, you know what you are getting yourself into before going ahead with the actual purchase.

If you feel that the Tesla Powerwall costs too much, you can also take a loan from Tesla.

To do this, you’ll need to make a minimum down payment of 10% of the total cost of your system.

In our above example, this would amount to you paying $2,360 upfront and then an additional $229 each month for a total of 10 years, bringing your total costs up to $29,840 (an extra $12,620).

Please feel free to ask any questions you have in the comments section below, and one of our solar experts will respond as soon as possible.

Kyle Browning

Kyle Browning

Kyle is a researcher and content specialist at Climatebiz. He has a strong interest in green technology, particularly in photovoltaic systems. Kyle believes in a future where everyone has affordable access to renewable energy, regardless of their race, religion, or social status. This ideology led Kyle to found Climatebiz - with the goal to provide free information for anyone, anytime. You can follow Kyle on Twitter at @kylebrwng

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Jo

Hello. I’m wondering why should we still choose Tesla Powerwall since there are Smile5 and other batteries whose Lcos is cheaper than Tesla?

Rob

I don’t know who did the math on this article. One power wall at 13.5Kwh will not even power most homes for one day. I use very little power with no central AC and just two people and we use from 24 to 28 KWH a day. Anyone who can buy one of these batteries are probably in a big home with central heating and cooling and one or two children. All this battery will do is keep the lights on. If you think you’re going to heat water, run an AC, cook food, run a freezer, fridge, and anything else you’re wrong! I have a NiFe 48Vdc 1000aH battery with a 14.4 Kw solar array and a 14.4Kw Outback FP-4 VFXR3648A-01 FLEXMAX Four power system. My battery will provide 48Kwh of power which is about 2-4 days. It also requires a charge rate of C5 which means 200amps of power for 5 hours to charge. That little 4.8Kw array is inadequate.

Deep

You still did not address the issue of using a small 4.8 kWh solar panel array, which is really important for a fair ROI comparison because if the array itself is smaller than the 13.5 kWh capacity of the Powerwall, then its not going to be economical because you’d end up using the grid most of the time to charge the Powerwall. Ideally, because Powerwall has 90% efficiency, the solar array should be at least around 15 kWh to fully charge the Powerwall on days when there is adequate amount of sunlight.

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