Interesting article about the above - tinyurl.com/hq2vaot - in summary "Tesla will supply 20 megawatts (80 megawatt-hours) of energy storage to Southern California Edison as part of a wider effort to prevent blackouts by replacing fossil-fuel electricity generation with lithium-ion batteries"
I'm not clear how the electricity they are storing is being generated but being California I expect it'll be a "green" source.
It is undoubtedly expensive but must have a positive impact on the costs of battery production which will benefit other lithium-ion battery users like cars. Once they get into this kind of mass production, manufacturing costs of batteries should drop rapidly.
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