The Tesla Powerwall+ is a sleek, high-tech energy storage solution for homeowners who want to install batteries. Image courtesy of Tesla, Inc.
The Tesla Powerwall costs about $15,000 with installation in 2024. The final price of a Tesla energy storage system will depend on how many Powerwalls are installed, the installer you use, and the final system design.
Tesla has been in the battery game since its launch of the Powerwall battery in 2015, and it has since become one of the most popular lithium-ion batteries on the market. Our experts even named it one of the five best home solar batteries.
The Tesla Powerwall is powerful, has excellent features, and meets the energy needs of most homeowners. But is the Powerwall worth the price tag?
Key takeaways
- A Tesla Powerwall installation costs about $15,000 before incentives, but the total cost will vary with your location and the installer you choose.
- The new Tesla Powerwall 3 has a 13.5 kWh storage capacity and 11.5 kW power output, making it one of the most powerful home batteries on the market.
- The Powerall 3 has a built-in hybrid inverter, so it is not designed to integrate with existing solar panel installations.
- The Tesla Powerwall generally provides the most bang for your buck, but competitors offer longer warranty terms and better design flexibility.
- The Tesla Powerwall 3 is best for homeowners who want to install a large solar system and power large appliances like air conditioners.
How much does the Tesla Powerwall cost in 2024?
According to Tesla’s website, a Tesla Powerwall costs about $15,000 to install before incentives, depending on where you live. The following table breaks down the cost of a Tesla Powerwall 3 installation:
| Tesla Powerwall system equipment | Cost |
|---|---|
| 1 Powerwall battery | $7,300 |
| Gateway | $900 |
|
Accessories |
$200 |
| Tesla installation | $5,500 |
| Est. taxes | $800 |
| Estimated Powerwall installation cost | $14,700 |
The Tesla Powerwall is a big financial investment, but several solar battery rebates and incentives are available, like the federal solar tax credit, to reduce the cost. Tesla also offers its own battery financing option that requires $0 down, 7.5% APR, and 3 to 5-year term lengths for those who qualify.
Installation costs and tax amount will vary. Installation and labor costs associated with the Tesla Powerwall will depend on the installer you choose. Getting the Powerwall installed directly by Tesla costs around $5,500, with some markets having slightly higher costs. If you get the Powerwall through a local solar company, installation costs may be even higher. The tax amount will depend on your state’s sales tax value.
How to order the Tesla Powerwall
There are two ways to purchase a Tesla Powerwall:
- Order a Powerwall directly from Tesla’s website: A Powerwall can be ordered on Tesla’s website and installed by Tesla in qualifying locations. This will likely be the cheapest way to get a Powerwall. You do not need to purchase Tesla solar panels or a Solar Roof to buy a Powerwall.
- Purchasing a Powerwall from a local Tesla Certified Installer: By either finding a local installer on your own or submitting information to Tesla’s website, you can request an installation via a Certified Installer. Local installation costs will likely be higher than Tesla’s.
Tesla Powerwall specs and features
| Powerwall model | Tesla Powerwall 3 | Tesla Powerwall 2 | Tesla Powerwall+ |
|---|---|---|---|
| Capacity | 13.5 kWh | 13.5 kWh | 13.5 kWh |
| Power output | 11.5 kW | 5 kW | 7.6 kW |
|
Weight |
287 lbs | 251 lbs | 343.9 lbs |
| Warranty | 70% capacity after 10 years | 70% capacity after 10 years | 70% capacity after 10 years |
| Solar inverter | Included | Not included | Included |
| Solar inputs | 6 | x | 4 |
| Scalable | Up to 4 units | Up to 10 units | Up to 4 units |
What is the difference between Powerwall 2 and the Powerwall 3?
Powerwall 3 is the newest Tesla battery for sale. The built-in hybrid solar inverter is the most significant difference between the Powerwall 3 and its predecessors. The Powerwall 3 unit has six solar inputs, allowing it to pair with large solar systems up to 20 kW in size. It also has an impressive continuous power output of 11.5 kilowatts (kW) to run even the most power-hungry appliances.
The Powerwall 3 is best for homeowners installing new solar panel systems, especially if that system is large. Because of its high power output, it’s also a great battery storage option for homeowners who want to run power-hungry appliances like an air conditioner or sump pump.
However, newer isn’t always better. People with solar panels on their roofs should consider Powerwall 2, as it’s easier to connect to an existing solar installation. You can also install more Powerwall units in a Powerwall 2 system. So, if you need more than 54 kWh of storage, look into the Powerwall 2.
Important note: Powerwall 3 doesn’t always play well with others. You cannot combine Powerwall 3 models with Powerwall 2 models. The Powerwall 3 isn’t designed to be installed with an existing solar panel system and can’t pair with non-Tesla inverter brands. However, the Powerwall 3 can be combined with any brand of solar panels, so long as they meet the necessary voltage requirements.
Pros and cons of the Tesla Powerwall
| Pros of the Tesla Powerwall | Cons of the Tesla Powerwall |
|---|---|
| Excellent value | Powerwall 3 is not designed to connect to existing solar systems |
| Easy-to-use operating modes can help save money and maximize energy independence | Powerwall 3 can’t pair with non-Tesla inverters |
|
Virtual power plant capabilities |
Limited sizing options vs. modular competitors |
| Access to a backup power source during blackouts | Tesla has a poor customer service reputation |
Tesla Powerwall warranty
The Tesla Powerwall comes with a 10-year warranty that guarantees the battery will maintain at least 70% capacity at the end of the warranty period. The unlimited cycle warranty applies only if the battery is used for solar self-consumption, time-based control, and backup reserve.
If the Powerwall is used with any other application or combination of applications, the battery is only guaranteed to operate at 70% after the earlier ten years or 37.8 MWh of throughput. It’s unclear if this means using Powerwall modes such as energy exports or altering advanced settings will shorten the warrantied lifespan.
Tesla Powerwall vs. competitors
The Powerwall is a top solar battery, but there are plenty of Tesla Powerwall alternatives that may be a better choice for you. The following table outlines some other solar batteries on the market compared to the Tesla Powerall 3:
| Model | Tesla Powerwall 3 | Enphase IQ 5P | Panasonic EverVolt Home Battery |
sonnenCore+ 10 |
|---|---|---|---|---|
| Est. price | $15,000 | $8,000 | $16,000 | $13,000 |
| Battery capacity | 13.5 kWh | 5 kWh | 13.5 kWh | 10 kWh |
|
Power output |
11.5 kW | 3.84 kW | 7.6 kW | 4.8 kW |
| Warranty | 70% capacity after 10 years | 60% capacity after 15 years | 70% capacity after 12 years | 70% capacity after 10 years |
| Expandability | Yes, double size only | Yes, 5 kWh increments | Yes, 4.5 kWh increments | Yes, double size only |
The Tesla Powerwall 3 is one of the best batteries to get in terms of value. The price is lower than its competitors when you compare it to how much storage and power output you get. Also, despite offering a limited cycle warranty, it’s starting to fall behind in terms of warranty. Top brands like Panasonic and Enphase have protected their batteries for over ten years.
Also, the Powerwall 3 isn’t as flexible regarding system design and sizing. The Enphase IQ and the Panasonic EverVolt battery are modular, so you can get just the right amount of storage for your energy consumption needs. With the Powerwall, you need to double the size of your battery if you need more than 13.5 kWh.
Is the Tesla Powerwall worth the cost?
The Tesla Powerwall is worth considering if you’re interested in a battery storage system because of its low price and impressive power output. If you need backup power, are installing a brand new solar system, and want to run large appliances, you can’t get much better than the Powerwall 3.
But the Tesla Powerwall isn’t the best battery for everyone. The new Powerwall 3 isn’t suited to pair with already installed solar panels and can’t pair with microinverters. So, if your solar system is complex or might experience shading, a different battery could be better for you. However, the six solar inputs of the Powerall 3 likely mean this won’t be an issue for most homeowners.
Plus, Tesla doesn’t have the best customer service reputation, which you need to consider when making a 10+ year investment in storage. But, you might avoid some of these frustrations if you get your Powerwall through a local Tesla Certified Installer, as they can be a little more hands-on during the entire process.
Tesla Powerwall FAQ
How does the Tesla Powerwall work?
The Tesla Powerwall is an energy storage solution designed to charge using solar power or energy from the grid. Solar energy will first be sent to your home to run your appliances. Excess energy not used by your home will charge the battery. Then, when your panels aren’t generating electricity at night, you can use the stored energy in your Powerwall instead of the utility grid.
What type of battery is the Tesla Powerwall?
The Tesla Powerwall is a lithium-ion home solar battery. According to our research, the Tesla Powerwall 3 uses lithium-iron-phosphate batteries, which are safer and last longer than alternative chemistries. The Tesla Powerwall 2 uses nickel-manganese cobalt chemistry.
Is the Tesla Powerwall eligible for the 30% solar tax credit?
Yes, the Tesla Powerwall is eligible for the 30% federal solar tax credit. Based on the average Powerwall cost of $15,000, you could earn a $4,500 tax credit!
How can I save money on the cost of a Tesla Powerwall?
Tesla typically offers discounts when you buy more than one Tesla Powerwall, which lowers the overall price per unit. You can also save money on a Tesla Powerwall installation with local incentives and rebates. There are a number of regional battery rebate programs, and the federal tax credit is available nationwide!
Can a Powerwall save money on my electricity bills?
Depending on where you live, a Powerwall battery does have the potential to save money on your energy bills. Homeowners who don’t have access to net metering or those who are billed with time-of-use rates have the best chance of saving money with a battery system.
Will a Tesla Powerwall pay for itself?
A Tesla Powerwall may pay for itself, depending on where you live. A Tesla Powerwall won’t save you any extra money on your electricity bill if you live somewhere with full retail solar net metering. But, if you don’t have access to true net metering, a Powerwall may give you extra savings. In California, for example, a solar system with a Powerwall will have about the same payback period as a system without a battery.
Can a Tesla Powerwall work with non-Tesla solar panels?
Yes! A Tesla Powerwall can charge with solar panels from other brands. However, the Powerwall 3 is not compatible with other brands of solar inverters because the battery comes with a built-in hybrid solar inverter.
What appliances can a Tesla Powerwall run?
A single Powerwall 3 can run essential electrical loads like lights, wall outlets, refrigerators, and larger appliances like air conditioners and electric vehicle chargers. How long the Powerwall can run these loads depends on how many you use at once and how often.
How many Tesla Powerwall batteries do I need?
Most homeowners can install between one and two Powerwalls to meet their energy needs. However, the actual number of batteries you need depends on the energy usage of the appliances you want to run and for how long. Homeowners looking to run their home completely off-grid will need at least three Powerwall units, while someone who just wants to keep their lights on during a grid outage can get by with one.
Do I need a Tesla Powerwall?
In most cases, homeowners don’t need battery storage at all! If you aren’t experiencing regular power outages and your utility offers full retail net metering for solar customers, a Powerwall won’t provide too much benefit to you other than maximizing the amount of renewable energy you use.
Jen Merithew
Written Content Manager
Catherine is the Written Content Manager at SolarReviews, where she has been at the forefront of researching and reporting on the solar industry since 2019.