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SolarCity has launched its DemandLogic energy storage system that incorporates batteries from Tesla.

According to SolarCity, the DemandLogic system is intended for commercial-scale customers to store electricity for use during peak demand and as backup power during grid outages. The system also includes software that automates the discharge of stored energy to optimize utility charge savings.

The company says the storage system is available to new solar power customers through 10-year service agreements that include monthly payments. SolarCity adds that it will customize the system size to offset peak load and support high-priority backup functions. The system requires no change in operations and is fully automated, SolarCity notes.

SolarCity reports that the storage systems will initially be available in areas of California serviced by Pacific Gas & Electric and Southern California Edison, areas of Massachusetts serviced by NSTAR, and areas of Connecticut serviced by Connecticut Light and Power.

"The economics and scale that Tesla has achieved in the automotive market now make stationary energy storage more cost-effective and reliable than it has ever been in the past," comments JB Straubel, Tesla co-founder and chief technology officer. "We expect this market to grow very rapidly now that we have crossed this economic threshold."

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