California bill proposes incentives for Tesla’s planned gigafactory

Article by Christian A., on June 9, 2014

Financial incentives are being proposed by California lawmakers in a bid to persuade Tesla Motors Inc. to build its battery gigafactory in the state. Already based in California, Tesla has trimmed down the number of possible locations for $5 billion lithium-ion battery plant to a couple of states – California, Texas, New Mexico and Arizona.

Once operational, Tesla’s plant will employ around 6,500 workers. The bill was introduced by California Democratic state Senate leader Darrell Steinberg along with Republican state Senator Ted Gaines." Steinberg remarked that the gigafactory would help California achieve the dual goals of strengthening its economy and fostering more clean technology and renewable energy.

The bill will have to be approved by a two-thirds majority vote from both houses of the legislature before it can be passed. The bill is aimed at expediting approval processes for breaking ground on the factory and offering Tesla a series of tax cuts.

The legislators introduced the bill after Tesla chief executive Elon Musk described California's state's approval process for building green technology sites as complex and lengthy, noting that other states have a "more streamlined approach."

Gaines remarked that the incentives include tax credits, investment credits and hiring credits. He said that the bill will show Tesla that legislators are willing to “cut through the knot of red tape” that frustrates companies and prove that the state is open for business.

The bipartisan partnership between Steinberg and Gaines was prompted by fear that the EV maker would shift out of California to avoid state regulations. They are eyeing to persuade Tesla into building its gigafactory on a former military base in San Francisco.

If you liked the article, share on:

Comments

Recommended

Infiniti has commenced sales of the new 2018 Infiniti QX80 full-size luxury sports utility vehicle. Aside from the standard specs and optional features, potential customers would want to know how...
by - December 15, 2017
If there is one thing that Pagani Automobili and Fiat have in common, it is the fact that they are Italian companies that build and assemble vehicles. There is currently...
by - December 15, 2017
It’s Star Wars fever once again, and the second installation of the trilogy sequel -- “Star Wars: The Last Jedi” -- is finally hitting theaters. Avid fans of the franchise...
by - December 15, 2017
Audi Sport is known for creating high performance versions of some Audi vehicles, with a focus on higher levels of sportiness. So far, its high-performance creations are all powered by...
by - December 14, 2017
As soon as Toyota trademarked the names “LC F” and “Lexus LC F” at the European Union Intellectual Property Office, speculations have emerged that there could actually be a hardcore...
by - December 14, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries