Tesla company will install the world's largest lithium-ion battery with a capacity of 129 MWh at a wind farm in Jamestown, South Australia. It will provide an energy reserve and maintain the power plant’s stability.

The battery with a capacity of 100 MW will conserve the energy, generated by the Neoen Hornsdale station’s wind turbines. Installation should take place by the end of the year.

Elon Musk has guaranteed that Tesla will deliver the battery within 100 days of the agreement being signed with the South Australian government -- otherwise, Neoen will receive the battery for free.

"At 100MW and 129MWh, the Hornsdale Power Reserve will become not only the largest renewable generator in the state, but also home to the largest lithium-ion battery in the world, with our company's long-term direct investment in South Australia growing to almost AU$1 billion since 2013," Neoen Deputy CEO Romain Desrousseaux said.

"South Australia has been leading the nation in renewable energy; now, we are leading the world in battery storage," said South Australian Premier Jay Weatherill.

Tesla also won the contract for the installation of energy storage systems in the state of New South Wales. The Powerpack battery will allow the residents of Sidney to save on electricity bills. The system will help preserve the excess energy received in the daytime, in order to use it at night, and to reduce the load from the country's electricity grids.