Skip to navigationSkip to main contentSkip to right columnADVERTISEMENTColleen CabiliTue, June 23, 2026 at 5:22 PM GMT+2 2 min readTesla and NatPower signed a multiyear agreement to deploy more than 25 gigawatt hours of battery energy storage capacity across Italy and the U.K., the companies said Tuesday.Altogether, the initiative is structured around five initial projects, with a long-term ambition to surpass 100 GWh of installed capacity, according to Reuters. The companies put total construction expenditure at between $4 billion and $5 billion and said the portfolio could generate revenues of more than $15 billion across a 20-year horizon.Tesla's Megapack systems will be the hardware of choice at each site, selected by NatPower for deployment across all planned facilities. Alongside the hardware, the arrangement brings in Tesla's Autobidder platform, a trading optimization tool designed to identify advantageous moments in electricity markets to buy or sell power.NatPower will own and operate the projects. Tesla will supply hardware, construction services, and trading optimization under what the companies described as a single integrated framework spanning multiple countries, the company said."The sector has access to technology and capital but still struggles to deliver infrastructure consistently and within the required timelines. What we have built with Tesla is an ecosystem that enables alignment between capital and execution, and that can be replicated across multiple markets," NatPower CEO Fabrizio Zago said in a statement.Mike Snyder, VP of Tesla Energy and Charging, said the companies share a vision for scaling battery deployments across Europe. "Our team of experts are helping accelerate these deployments through our vertically integrated offering, providing hardware, software, construction, trading optimization and service to bring projects online faster and ensure they operate smoothly throughout the lifetime of the product," Snyder said in a statement.Battery storage has emerged as a growing priority across Europe, where governments and developers are directing capital toward storage capacity to manage an expanding share of renewable generation on power grids. The companies said the deployed assets will provide grid stabilization and dispatchable capacity for data centers and energy-intensive industrial operations.The companies characterized the ability to deliver storage at scale as the binding constraint on European energy system growth, citing rising electricity demand from artificial intelligence applications and the continued build-out of renewable generation as forces compressing the available margin on power networks.Terms and Privacy PolicyEU DSA contactPrivacy & Cookie SettingsMore Info