While I think this announcement is great news, there are at least two caveats to keep in mind that can mine the long term value proposition:
- If there are many users, the peak/non-peak price differences (arbitrage) will disappear. This is because of supply/demand law.
- If solar energy/battery storage takes off, it will be heavily taxed. There is an impending "Sun tax" being implemented in Spain, that aims to make more expensive running a home solar source than taking power from the grid. If necessary, they will tax Lithium.
So the Tesla value proposition is in all cases short term.
- If there are many users, the peak/non-peak price differences (arbitrage) will disappear. This is because of supply/demand law.
- If solar energy/battery storage takes off, it will be heavily taxed. There is an impending "Sun tax" being implemented in Spain, that aims to make more expensive running a home solar source than taking power from the grid. If necessary, they will tax Lithium.
So the Tesla value proposition is in all cases short term.