Renewable Energy To Power Tesla Gigafactory

by Cameron Aubernon

Published: February 24th, 2014

renewable energy to power tesla gigafactory

Sometime this week, Tesla CEO Elon Musk will announce everything there is to know about the EV automaker’s Gigafactory, from location and price tag, to its heavy reliance on renewable energy sources.

Autoblog Green reports the Gigafactory will be “heavily powered” by solar and wind energy sources, with older battery packs storing the collected energy. Meanwhile, the factory will mass-produce finished battery packs from raw lithium sources, with the aim of generating 30 gigawatt-hours annually. By taking advantage of economies of scale, costs should be reduced by 30 to 40 percent in the same timeframe needed to bring the $35,000 Model E from the drawing board to the showroom floor.

As for where the $2 billion-plus factory will be built, one rumored location is Nevada. Aside from the obvious solar power available for Musk’s green aspirations, the state also houses the sole commercial brine pool lithium production facility in the United States at this time, though more could be brought in from Wyoming’s recently discovered underground lithium brine in the state’s Rock Springs Uplift formation if needed.

Finally, funding for the Gigafactory could come from a number of sources, including new stock and alliances with other companies interested in what the factory — and the future — has to offer.

#BatteryPackProduction #ElectricVehicles #Gigafactory #Lithium-ion #ModelE #Recycling #RenewableEnergy #Tesla

Cameron Aubernon

Seattle-based writer, blogger, and photographer for many a publication. Born in Louisville. Raised in Kansas. Where I lay my head is home.

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E46M3_333 on Feb 24, 2014

Where are the engineers needed to run this plant going to come from? Who wants to work in rural Nevada? . .

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- Dr. Kenneth Noisewater on Feb 24, 2014
  
  It sure beats rural China..
  
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- Vulpine on Feb 24, 2014
  
  I wouldn't mind. I enjoyed Nevada when I worked there before--for the Air Force.
  
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Wmba on Feb 24, 2014

Well Tesla does have the world's best hype and entertainment department. Got to have some announcement every month to keep the share price up and to show what genius is leading the charge to a brighter and better future. Seems to be working so far.

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- Vulpine on Feb 24, 2014
  
  Funny how so like an anti-Apple zealot's comment that sounds.
  
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RogerB34 on Feb 24, 2014

Musk's dream isn't possible without massive government "incentives".

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- 28-Cars-Later on Feb 24, 2014
  
  I suspect he'll get them too.
  
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- Mshenzi on Feb 24, 2014
  
  Is that really so different from foreign companies' dreams of opening a factory in the US, with state and municipal governments falling all over each other to offer massive incentives to site the factories in their jurisdictions? Those companies aren't experiments-in-progress the way Tesla is, but that cuts both ways. They're typically very well capitalized already and don't actually need the largesse that's desperately heaved at them. We ultimately pay for all those tax breaks and sweetheart deals, too. Personally, I think it's reasonable for govt to do both things, but my point is that they seem pretty close to equivalent, even though one tilts more federal, the other more state and municipal.
  
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- Cackalacka on Feb 24, 2014
  
  Unlike the new VW plant in Chattanooga, which was built and paid for solely by the... oh wait. Nevermind.
  
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- Mshenzi on Feb 24, 2014
  
  @cackalacka Here's a listing of all of them through 2008, according to Good Jobs First. In the words of the organizations Executive Director "the vast majority of subsidies to foreign auto plants were taxpayer gifts such as property and sales tax exemptions, income tax credits, infrastructure aid, land discounts, and training grants.” Subsidies include: • Honda, Marysville, Ohio, 1980, $27 million* • Nissan, Smyrna, Tenn., 1980, $233 million** • Toyota, Georgetown, Ky., 1985, $147 million • Honda, Anna, Ohio, 1985, $27 million* • Subaru, Lafayette, Ind., 1986, $94 million • Honda, East Liberty, Ohio, 1987, $27 million* • BMW, Spartanburg, S.C., 1992, $150 million • Mercedes-Benz, Vance, Ala., 1993, $258 million • Toyota, Princeton, Ind., 1995, $30 million • Nissan, Decherd, Tenn., 1995, $200 million** • Toyota, Buffalo, W.Va., 1996, more than $15 million • Honda, Lincoln, Ala., 1999, $248 million • Nissan, Canton, Miss., 2000, $295 million • Toyota, Huntsville, Ala., 2001, $30 million • Hyundai, Montgomery, Ala., 2002, $252 million • Toyota, San Antonio, Texas, 2003, $133 million • Kia, West Point, Ga., 2006, $400 million • Honda, Greensburg, Ind., 2006, $141 million • Toyota, Blue Springs, Miss., 2007, $300 million • Volkswagen, Chattanooga, Tenn., 2008, $577 million Total: more than $3.58 billion * total of direct subsidies to all Honda facilities in Ohio ** includes about $200 million for expansions of Smyrna and Decherd plants List does not include joint ventures with U.S. companies This data does not include any estimate of subsidies granted to hundreds of foreign-owned auto supply companies that have located in the same areas, virtually all of which were also heavily subsidized.
  
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Wmba on Feb 24, 2014

About two years ago, I went to Tesla's Canadian website. There I was informed that the reason Teslas cost more in Canada than the US was due to Canada's 6% import duty. Utter falsehood. The car is made in California. The USA is part of NAFTA, so no import duty at all in Canada. I figured if they could get away with such incompetence so blatantly, they were not an entity to be trusted, and haven't been back to see whether they woke up. Not interested.

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- Vulpine on Feb 24, 2014
  
  Umm... I believe there's also a notable difference between the value of the Canadian dollar to the US dollar--maybe enough to balance that 6% difference? I understand everything is more expensive up there--as compared to their US price.
  
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- Dr. Kenneth Noisewater on Feb 24, 2014
  
  http://www.cbsa-asfc.gc.ca/publications/pub/bsf5048-eng.html#s5 Example 2010 model year automobile Purchase price (includes invoice price and state taxes) US$50,000 Value for duty (price converted to Canadian currency at current rate of exchange: $50,000.00 x 1.05*) CAN$52,500 Duty at 0% 0 Excise tax on air conditioner $100 Excise tax on Green Levy $1,000 $1,100 $1,100 Value for tax (value + duty + excise tax) $53,600 GST ($53,600 × 5%) $2,680 Total cost $56,280 Total duties and taxes paid to CBSA $3,780 3780/50000 = 7.56% Presumably Teslas aren't penalized by a Green Levy?
  
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- Pch101 on Feb 24, 2014
  
  Perhaps they didn't have stores in Canada two years ago, which would have required dealing with RIV to do a personal import. The 5% federal GST would be included in the duty.
  
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