WATCH: Elon Musk explains how the world's largest battery in South Australia will work, and more

Elon Musk. Photo: Getty Images.

Tesla is building the world’s largest lithium ion battery in South Australia.

In partnership with French renewable energy provider Neoen, the 100MW/129MWh battery will operate at all times and be connected to a wind farm. It is hoped the power station will solve South Australia’s energy problems.

The project is the result of a bet he made on Twitter with Atlassian co-founder Mike Cannon-Brookes in March, that Tesla could install an operational battery system that would solve South Australia’s energy problems in 100 days.

Now, if the system isn’t up and running within 100 days of signing the grid interconnection agreement, Musk will have to cough up the cost, which he estimates at more than $US13 million ($AU20m).

Watch the video – six minutes in is best – here:

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