Tesla has recalled its Powerwall 2 home battery units in Australia following reports of fires that caused minor damage to property, according to the Australian Competition and Consumer Commission (ACCC).
The recall concerns an unknown number of batteries manufactured in the United States and sold between November 2020 and June 2022. The lithium-ion cells inside the units were supplied by a third-party manufacturer, whose name has not been disclosed. Despite the fire incidents, no injuries have been reported.
The Powerwall 2 system, designed to store energy from solar panels, provides 14 kWh of battery capacity for homes looking to optimise their renewable power use. Tesla also offers customers the option to participate in a virtual power plant programme, which pools distributed batteries to support the electricity grid during periods of high demand.
Enrolling in this scheme extends the warranty on the Powerwall to 15 years and allows access to time-of-use tariff rates, potentially reducing energy bills.
Tesla is informing affected owners through the Tesla app and has initiated a process to safely discharge the recalled batteries to lower the fire risk. Replacements will be provided free of charge, and the company will assess compensation for any lost energy savings individually, the ACCC said.
This recall shows ongoing concerns around the safety of lithium-ion battery systems as residential adoption increases. While highly effective for renewable energy storage, these technologies require strict quality control to avoid incidents.
Regulatory bodies remain vigilant to protect consumers while supporting clean energy adoption. Customers are advised to monitor official Tesla communications and the ACCC’s product safety updates for the latest information.