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Tesla gets proposal from Indonesia for EV plant with an annual production capacity of 500k

(Credit: Tesla)

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Indonesia continues to woo Tesla with a proposal for an EV factory with an annual production capacity of 500,000 cars.

Last Thursday, Coordinating Maritime Affairs and Investment Minister Luhut Pandjaitan said the government suggested that Tesla build a plant near Batang Regency in Central Java province, where it can get a steady supply of electricity from renewable sources.

The Indonesian government has been promoting industrial estates that supply clean energy from renewable sources to foreign companies, like Tesla, that are conscious of their carbon footprint. Local media in Indonesia reported that the government has committed to decarbonizing its economy

Sustainable energy transition is one of the main focuses of the G20 Summit that Indonesia will host in November 2022. Jokowi met with Elon Musk last month and invited the Tesla CEO to visit Indonesia in November.

State-owned PT Geo Dipa Energi (GDE) runs the geothermal facilities in Batang Regency, close to the proposed site for Tesla’s factory. The company started its first tests for a small-scale 10MW geothermal plant in Dieng last year. It also has a geothermal plant in Patuha. 

Between its plants in Dieng and Patuha, Geo Dipa Energi has an installed generation capacity of 115 MW from geothermal resources. GDE wants its geothermal development to reach 400 MW in the next few years. 

Luhut explained how Tesla could use GDE’s resources to Indonesia’s lawmakers during a meeting with the House of Representatives Budget Commission. “We could…channel this green energy [to Tesla’s factory],” he said. 

Luhut noted that Tesla has also shown interest in North Kalimantan Green Industrial park, which gets power from hydropower and solar power plants. The minister did not provide further details about Tesla and Indonesia’s negotiations, stating that the government has signed a confidentiality agreement with the company. However, he did emphasize that Indonesia wants to produce Tesla vehicles. 

“While Thailand has just become an agent [of Tesla EV cars], we do not want the same,” Luhut said. “We want to become a producer.”

The Teslarati team would appreciate hearing from you. If you have any tips, contact me at maria@teslarati.com or via Twitter @Writer_01001101

Veteran writer and editor, who believes harmony between tech and nature is achievable. We just need to learn to compromise.

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Armored Tesla Cybertruck “War Machine” debuts at Defense Expo 2025

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Photo: Unplugged Performance

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Tesla Megapacks chosen for 548 MWh energy storage project in Japan

Tesla plans to supply over 100 Megapack units to support a large stationary storage project in Japan, making it one of the country’s largest energy storage facilities.

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Credit: Tesla

Tesla’s Megapack grid-scale batteries have been selected to back an energy storage project in Japan, coming as the latest of the company’s continued deployment of the hardware.

As detailed in a report from Nikkei this week, Tesla plans to supply 142 Megapack units to support a 548 MWh storage project in Japan, set to become one of the country’s largest energy storage facilities. The project is being overseen by financial firm Orix, and it will be located at a facility Maibara in central Japan’s Shiga prefecture, and it aims to come online in early 2027.

The deal is just the latest of several Megapack deployments over the past few years, as the company continues to ramp production of the units. Tesla currently produces the Megapack at a facility in Lathrop, California, though the company also recently completed construction on its second so-called “Megafactory” in Shanghai China and is expected to begin production in the coming weeks.

READ MORE ON TESLA MEGAPACKS: Tesla Megapacks help power battery supplier Panasonic’s Kyoto test site

Tesla’s production of the Megapack has been ramping up at the Lathrop facility since initially opening in 2022, and both this site and the Shanghai Megafactory are aiming to eventually reach a volume production of 10,000 Megapack units per year. The company surpassed its 10,000th Megapack unit produced at Lathrop in November.

During Tesla’s Q4 earnings call last week, CEO Elon Musk also said that the company is looking to construct a third Megafactory, though he did not disclose where.

Last year, Tesla Energy also had record deployments of its Megapack and Powerwall home batteries with a total of 31.4 GWh of energy products deployed for a 114-percent increase from 2023.

Other recently deployed or announced Megapack projects include a massive 600 MW/1,600 MWh facility in Melbourne, a 75 MW/300 MWh energy storage site in Belgium, and a 228 MW/912 MWh storage project in Chile, along with many others still.

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

Tesla highlights the Megapack site replacing Hawaii’s last coal plant

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Elon Musk responds to Ontario canceling $100M Starlink deal amid tariff drama

Ontario Premier Doug Ford said, opens new tab on February 3 that he was “ripping up” his province’s CA$100 million agreement with Starlink in response to the U.S. imposing tariffs on Canadian goods.

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NORAD and USNORTHCOM Public Affairs, Public domain, via Wikimedia Commons

Elon Musk company SpaceX is set to lose a $100 million deal with the Canadian province of Ontario following a response to the Trump administration’s decision to apply 25 percent tariffs to the country.

Starlink, a satellite-based internet service launched by the Musk entity SpaceX, will lose a $100 million deal it had with Ontario, Premier Doug Ford announced today.

Ford said on X today that Ontario is banning American companies from provincial contracts:

“We’ll be ripping up the province’s contract with Starlink. Ontario won’t do business with people hellbent on destroying our economy. Canada didn’t start this fight with the U.S., but you better believe we’re ready to win it.”

It is a blow to the citizens of the province more than anything, as the Starlink internet constellation has provided people in rural areas across the globe stable and reliable access for several years.

Musk responded in simple terms, stating, “Oh well.”

It seems Musk is less than enthused about the fact that Starlink is being eliminated from the province, but it does not seem like all that big of a blow either.

As previously mentioned, this impacts citizens more than Starlink itself, which has established itself as a main player in reliable internet access. Starlink has signed several contracts with various airlines and maritime companies.

It is also expanding to new territories across the globe on an almost daily basis.

With Mexico already working to avoid the tariff situation with the United States, it will be interesting to see if Canada does the same.

The two have shared a pleasant relationship, but President Trump is putting his foot down in terms of what comes across the border, which could impact Americans in the short term.

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