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Elon Musk slams California’s $8 per kW monthly utility charge plan for solar owners

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Tesla CEO Elon Musk has slammed California’s plan for homeowners who use solar panels in their homes. The proposal calls for a discounted rate for excess power sold into the grid, as well as a monthly utility charge of $8 per kW to cover the cost of maintaining the state’s power infrastructure. Musk noted that the idea, which essentially penalizes sustainable energy, is “insane.”

The announcement, which was posted by the California Public Utilities Commission (PUC) on Monday, has been met with widespread criticism from the residential solar industry. Those opposed to the proposal warned that the initiative could undermine the state’s efforts to address climate change. The PUC, however, argued that the plan would encourage the solar industry to accelerate the rollout of battery storage systems, as noted in a Reuters report. 

With battery storage systems, the PUC noted that excess power generated by solar panels could be held in reserve by the homeowners themselves instead of being sold back to the grid. The PUC also argued that the current system essentially translates to a multi-billion subsidy for wealthy homeowners that other utility ratepayers are paying for. 

If the plan were to be fully approved, homeowners with solar systems could expect their homes to be moved to the new structure once their systems have been connected for 15 years. The plan also calls for homeowners with solar systems to be offered an incentive to pair a battery storage unit for their houses. Owners who accept this offer would be shifted into the new structure sooner. 

According to the PUC, a review of its policy has revealed that its current systems are not cost-effective since homeowners with no solar panels are shouldered with the price of maintaining the grid. Unfortunately, most of the said ratepayers were from lower-income households. And considering that ratepayers from the state spent about $3 billion a year to support net metering, PUC Commissioner Martha Guzman Aceves noted that the funds are better used elsewhere. 

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“If you use that money to purchase the large-scale clean energy projects, we would be able to meet our 2045 goals,” she said. 

The Solar Energy Industries Association, one of the US’ most notable solar trade group, for its part, has heavily criticized California’s announcement. The group noted that the proposal, if it does go through, would “create the highest solar tax in the country and tarnish the state’s clean energy legacy.” A vote on the proposal could be held as soon as next month. The proposed policy changes would likely take effect after a final decision has been reached. 

*Quotes courtesy of Reuters

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Simon is an experienced automotive reporter with a passion for electric cars and clean energy. Fascinated by the world envisioned by Elon Musk, he hopes to make it to Mars (at least as a tourist) someday. For stories or tips--or even to just say a simple hello--send a message to his email, simon@teslarati.com or his handle on X, @ResidentSponge.

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Tesla recruits data collection operators for Optimus bot development

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(Credit: Elon Musk | X)

Tesla is recruiting Data Collection Operators to propel the development of its Optimus humanoid robot. The new hires will be critical in supporting Tesla’s data collection team to refine the Optimus bot.

The primary responsibilities of Data Collection Operators include gathering data, addressing engineering requests, and providing equipment feedback. Candidates must demonstrate data-driven decision-making and enthusiasm for robotics.

“We are looking for someone with enthusiasm for the field of robotics and a strong desire to contribute to the development of [the] Tesla Bot,” Tesla noted.

Available shifts for Tesla’s Data Collection Operators include 8:00 AM–4:30 PM, 4:00 PM–12:30 AM, or 12:00 AM–8:30 AM, with flexibility for overtime and weekend work.

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Operators will walk pre-determined test routes daily, wearing motion capture suits and Virtual Reality headsets to perform specific movements based on project needs. Requirements include the ability to walk over seven hours daily while carrying up to 30 pounds, a height between 5’6” and 6’, and comfort with extended VR use. Candidates must also exhibit hand/eye coordination, body awareness, and the ability to travel up to 25% of the time with daily regional driving.

Elon Musk recently showcased Optimus advancements, sharing a dance video highlighting the Tesla bot’s agility and swift progress. Optimus has evolved significantly since its 2022 debut at AI Day, where semi-functional prototypes walked and moved arms. Critics initially questioned its reliance on remote control, but Tesla’s ongoing efforts are silencing doubters.

Morgan Stanley analysts project a $5 trillion market for humanoid robots by mid-century, with Tesla’s Optimus poised to capitalize in industrial and commercial applications. As Tesla pushes the boundaries of robotics, the Data Collection Operator roles underscore its commitment to innovation.

With Optimus advancing, Tesla’s recruitment reflects its strategic focus on AI and robotics. The data collected will refine the Optimus bot. Tesla Optimus could transform industries and position Tesla as a leader in the humanoid robot market, aligning with Musk’s vision for a tech-driven future.

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Elon Musk’s $56B pay package under review by new Tesla committee  

Tesla forms a special board committee to reassess Elon Musk’s 2018 compensation. New performance-based options may be on the table for Musk.

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Wcamp9, CC BY 4.0 , via Wikimedia Commons

Tesla’s board has established a special committee to evaluate CEO Elon Musk’s pay package. The move comes as the company navigates a pivotal shift in its strategic direction.

According to the Financial Times, the new committee could craft a new stock options package. The committee, comprising Tesla board Chair Robyn Denholm and independent director Kathleen Wilson-Thompson, is tasked with reviewing Musk’s compensation, noted sources familiar with the matter.

The group will explore alternative compensation methods for Musk’s past contributions if the 2018 $56 billion pay package is not reinstated. Any new stock options would be tied to Tesla meeting financial, operational, and share price targets. Musk’s 2018 pay package is currently under appeal.

Last month, Tesla disclosed the formation of a special committee to address compensation matters involving Musk, though details were sparse. In March 2025, Musk appealed to restore his record-breaking $56 billion compensation, arguing that Delaware Chancery Court Judge Kathleen McCormick made “multiple legal errors” in rescinding it. The appeal began on March 11, 2025. Musk along with current and former Tesla directors are challenging McCormick’s application of the entire fairness standard in her ruling.

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Tesla is at a crossroads as it pushes forward with robotaxis and humanoid robots. This shift repositions Tesla as an AI and robotics leader rather than a traditional automaker. Elon Musk is Tesla’s largest shareholder, holding a 13% stake. Earlier this month, Denholm refuted a Wall Street Journal report suggesting the board was seeking a replacement for Musk, reaffirming his central role in the company.

The committee’s review underscores Tesla’s efforts to align Musk’s compensation with its evolving goals amid legal and strategic challenges. As the appeal progresses and Tesla doubles down on AI-driven innovation, the outcome could shape the company’s leadership and market trajectory. With Musk’s vision steering Tesla toward uncharted territory, the compensation debate highlights the high stakes of balancing shareholder value with transformative ambition.

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xAI’s AI Infrastructure Partnership gains Cisco as a key ally  

Cisco joins xAI’s AIP alliance to build the infrastructure behind AI’s next era. The alliance could mobilize up to $100B for AI growth.

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(Credit: Cisco)

Cisco has joined the AI Infrastructure Partnership (AIP), led by xAI, BlackRock, Global Infrastructure Partners, MGX, Microsoft, and NVIDIA.

Cisco joined AIP to advance AI innovation through robust infrastructure. The collaboration underscores the growing momentum behind xAI’s mission to scale AI capabilities.

“AI is only as effective as the technology that connects and secures it. By collaborating across our industry and leveraging public and private partnerships, we intend to build the infrastructure necessary to fulfill the promise of AI as we work together to drive innovation and economic growth,” Cisco stated.

As a technology partner, Cisco joins energy collaborators GE Vernova and NextEra Energy, strengthening AIP’s platform to deliver secure, scalable infrastructure for AI workloads. AIP aims to unlock $30 billion in capital, potentially mobilizing up to $100 billion with debt financing, to support these efforts.

xAI’s partnerships have expanded significantly, with 14 technology collaborators. NVIDIA supplies critical graphic processing units (GPUs) powering xAI’s AI models, including Grok and the Colossus supercomputer. Other partners have not been fully disclosed, but likely include cloud computing or hardware providers enhancing xAI’s infrastructure.

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In March 2025, xAI joined a $30 billion AI infrastructure fund with NVIDIA, Microsoft, and BlackRock, focusing on expanding U.S.-based AI resources. This consortium, backed by MGX’s investment fund, bolsters xAI’s ability to scale operations.

By April 2025, xAI partnered with Palantir Technologies and TWG Global to integrate AI models like Grok into financial services. The xAI collaboration with Palantir Technologies and TWG Global is expected to pave the way for broader adoption as more partners are expected to join.

Cisco’s entry into AIP signals a strategic push to address the infrastructure demands of AI’s rapid growth. With xAI at the helm, the partnership leverages industry leaders to ensure secure, efficient systems, positioning the U.S. as a hub for AI innovation. As collaborations expand, xAI’s vision for transformative AI solutions gains momentum, promising economic and technological advancements.

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