Tesla Just Took Its First Step Toward Obliterating The Power Companies

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4. And has been done with water by electrical companies for decades

99% of all electrical storage used in the US is such pumped storage systems.

http://water.usgs.gov/edu/hyhowworks.html

http://en.wikipedia.org/wiki/Pumped-storage_hydroelectricity

You have to understand when it comes to ways to generate electricity, the quickest to turn on or off is Hydroelectric generators. IF the water is released the turbine turn, if the water is turned off, the turbines stop to spin.

You can NOT do that with Nuclear, oil, natural gas or coal generation. Wind only provides electrical power when the wind is blowing, Solar when the sun is out. Thus Hydroelectric generation is the most efficient way to produce power and is the quickest to turn on or off. Thus the most efficient way to store electrical power for later use.

The basic concept is simple. During those time periods when you have more electrical production from sources other then Hydro, you use that excess electrical power to pump water behind dams. During peak periods the water is releases to run water generators.

As stated above, this is how 99% of electrical power is stored today in US.