Welcome to Tesla Motors Club
Discuss Tesla's Model S, Model 3, Model X, Model Y, Cybertruck, Roadster and More.
Register

Can powerwalls be added later to install?

This site may earn commission on affiliate links.
I think a medium install would work for my current situation. I’m wondering if I want to add powerwall or other branded battery packs later to the setup, is that possible?

The Tesla software is only gonna work with their products only, right?
 
Everything is possible. You might need to reconfigure your system (wiring, location, etc) , probably apply for new permits but I don't think someone could tell you - No, you cannot do that.
I personally was in the same boat last year. I sighed for solar array and was thinking to add PW later, then I realized I dont want to go though everything twice and added PW so it would be one time install.
 
  • Informative
Reactions: X-pilot
I think a medium install would work for my current situation. I’m wondering if I want to add powerwall or other branded battery packs later to the setup, is that possible?

The Tesla software is only gonna work with their products only, right?

Yes it can be added later (tesla, or some other battery solution). its going to be cheaper to install it now, especially if its tesla... since tesla is offering a bundle discount.

So its going to be more expensive to do it later. in some cases significantly so. You CAN do it later though, no problem with that. Many of us have added powerwalls to existing solar ( I am one). If I was doing it NOW however, I would definitely 100% positively get it now, so that there wouldnt need to be re work etc (and more cost) later.
 
  • Like
Reactions: arnolddeleon
If PowerWalls are included in the installation, they are covered by the 26% us tax rebate.

If added later, you may not get the tax rebate.
My understanding is that the IRS has clarified that PWs (or similar tech from other companies) are covered by the ITC, even if they are installed later, as long as they meet the eligibility rules - with the main one being that they are only charged from the solar panels (or other qualifying source.) This had been a question in the past. Of course, the residential ITC is currently scheduled to drop to 22% next year before ending, so there is definitely a time component.

Because of the ITC credit potentially sunsetting (depending on what Congress might do) and the significant savings from installing PWs at the same time, I would definitely suggest installing them at the same time if you can afford it and know you will be getting them soon. If you are not so certain whether you really want them (and, if you don't have TOU rates and have reliable power, there may not be a strong argument for them) then you can wait, knowing there is a chance you might pay more in the future, depending on how the credits and technology evolve.
 
You’ll lose the bundle discount and the tax credit only applies to storage when it is installed with solar. So you are going to pay way, way more.

If PowerWalls are included in the installation, they are covered by the 26% us tax rebate.

If added later, you may not get the tax rebate.
This is contrary to the tax advice I've received from my CPA.

My solar and Powerwall were contracted at the same time but paid for separately and installed 4 months apart in different calendar years. I claimed the ITC on both in line with my CPA's guidance.

My (non professional) understanding is that regardless of when it is installed battery storage systems that are exclusively solar charged are eligible for the ITC.

tl;dr: Speak with a professional before taking tax advice from the internet :)
 
tl;dr: Speak with a professional before taking tax advice from the internet :)
In the end this is the most important thing. However, for those looking for more information or something to take to their tax advisor:

https://www.irs.gov/pub/irs-wd/201809003.pdf

This is a private-letter ruling (which officially means it does not set precedent, but it is generally expected it would apply to the same set of facts) where somebody added solar in year 1 and then battery backup in year 2. The IRS allowed claiming the 30% credit for the battery backup system. And, though they don't identify brand names, note from the letter:

The Battery is expected to have a storage capacity of 13.5 kilowatt hours (“kWh”) and a power rating of 5 kilowatts (“kW”).

So, we can make a pretty educated guess this was actually somebody adding a Tesla PW.
 
  • Helpful
Reactions: gpez
My understanding as well is what @gpez is saying... but that doesnt directly contradict what @Zer0t is saying.

Semantics, I know, but @Zer0t said "the tax credit only applies when storage is installed with solar". I read that as installed = "paired with".

What we basically understand at this point is, storage is allowed to claim the tax credit in place for the year the storage is installed, as long as the storage is mated with, and charged from solar. That fits the definition of "installed with" solar, but does not mean that it has to be installed "at the same time" as solar.

So, if you get powerwalls, as long as you are charging them from a solar install that either previously existed on the home, or is being installed at the same time, you can claim the tax credit for the storage. At least, thats how I understand it based on the research I did. I intend to claim the tax credit of 26% for the powerwalls I installed this year that are paired with solar that was installed in 2015.

Still, for this OP, the cost to install "later" is going to be more than the cost to install "now, when solar is being installed". The only reason I might wait is, I have no idea if tesla is going to come out with something new for powerwalls in battery day. They sure are making it enticing to buy them "now" for example.
 
My understanding as well is what @gpez is saying... but that doesnt directly contradict what @Zer0t is saying.

Semantics, I know, but @Zer0t said "the tax credit only applies when storage is installed with solar". I read that as installed = "paired with".

What we basically understand at this point is, storage is allowed to claim the tax credit in place for the year the storage is installed, as long as the storage is mated with, and charged from solar. That fits the definition of "installed with" solar, but does not mean that it has to be installed "at the same time" as solar.

So, if you get powerwalls, as long as you are charging them from a solar install that either previously existed on the home, or is being installed at the same time, you can claim the tax credit for the storage. At least, thats how I understand it based on the research I did. I intend to claim the tax credit of 26% for the powerwalls I installed this year that are paired with solar that was installed in 2015.

Still, for this OP, the cost to install "later" is going to be more than the cost to install "now, when solar is being installed". The only reason I might wait is, I have no idea if tesla is going to come out with something new for powerwalls in battery day. They sure are making it enticing to buy them "now" for example.
My bad should’ve been more careful. I meant paired with. Power walls alone I don’t believe qualify. If you connect it to a solar system you can get the credit.
 
My bad should’ve been more careful. I meant paired with. Power walls alone I don’t believe qualify. If you connect it to a solar system you can get the credit.

Thanks for clarifying, @Zer0t but I'm confused why you then said "So you are going to pay way, way more." when the OP clearly mentioned pairing the PWs with a medium solar install after.
 
Thanks for clarifying, @Zer0t but I'm confused why you then said "So you are going to pay way, way more." when the OP clearly mentioned pairing the PWs with a medium solar install after.
Again being quick on an iPhone. You are going to way more without the package discount. My discount for solar and PW together is 7100 bucks. That’s a big chunk of change.

my contract reads:

3 Powerwalls and tax 20,394.38
Powerwall supporting hardware 1,100
Powerwall installation 4,000
Powerwall + Solar discount (7,100)
Total 18,394.38

I know there’s been some pricing changes (stuff has gotten cheaper) so maybe they’ve gotten rid of the discount?

Edit: it looks like when they reduced pricing they cut the PW discount to 2500 bucks. So I’ll amend it to you’ll pay more. 2500 bucks is still a lot of money but not as significant as 7100.
 
Last edited:
Again being quick on an iPhone. You are going to way more without the package discount. My discount for solar and PW together is 7100 bucks. That’s a big chunk of change.

my contract reads:

3 Powerwalls and tax 20,394.38
Powerwall supporting hardware 1,100
Powerwall installation 4,000
Powerwall + Solar discount (7,100)
Total 18,394.38

I know there’s been some pricing changes (stuff has gotten cheaper) so maybe they’ve gotten rid of the discount?

Wild, didn't know that the discount was that big! Tesla didn't give me nearly that big of a break on my quote back in 2018.