News
With gas phase-out in view, Europe could lose $160 billion in fuel taxes
With Europe’s gas phase-out plans now within view, the countries there could be set to lose significant funding from fuel taxes in the coming years.
Last year, the European Union (EU) officially approved a mandate to end the sale of new gas cars by 2035, in order to help reduce greenhouse gas emissions and slow down the warming of Earth’s atmosphere. Still, the change could have some latent effects, especially as most countries get crucial revenue from taxes on gas.
In 2023, the top five economies in Europe earned over €150 billion ($163 billion) in fuel levies, representing as much as 2 percent of the countries’ total taxes, according to Bloomberg. In the United Kingdom, gas and diesel duties are predicted to amount to £24.3 billion ($31 billion) between last year and this year—or more than alcohol and tobacco taxes combined.
Many of these taxes go toward important societal needs such as hospitals, schools, and road maintenance, highlighting the need for the income to continue, even as electric vehicles (EVs) take over the market in the coming years. Instead of allowing this revenue to disappear as battery-electrics become the new norm, it might be time to start planning for replacement options now.
There are multiple potential options for ensuring this revenue remains with the transition to EVs, including the fact that these sectors could generate funding elsewhere, like through income taxes. However, some also argue that this approach, not unlike the option of taxing car sales outright, wouldn’t account for how much a person uses their vehicle, potentially increasing congestion, and removing incentives to buy more efficient vehicles.
As such, taxing driving specifically may be a better alternative. Still, taxing electricity rates would require some houses to add meters for this purpose, and it may risk offering wealthier households, who can afford to install home-charging equipment, lower taxes than those charging at public charging stations. Add in the element of the increasing rollout of residential solar power, and this could even further exacerbate the issue.
Instead, taxing as fairly as possible on the actual road use would be ideal, which isn’t unlike many areas’ use of toll roads. Whether using annual checkups and registration practices to determine how many miles a given vehicle drives per year, or using something else like GPS, this approach seems like it could offer a more level playing field across socioeconomic lines.
In any case, beginning to consider these options now will be imperative for government officials to avoid losing this funding in the future, and delaying this process could result in a tougher transition period.
How do you think EVs should be taxed in Europe? What about in other countries? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send your tips to us at tips@teslarati.com.
Elon Musk
SpaceX secures win as US labor board drops oversight case
The NLRB confirmed that it no longer has jurisdiction over SpaceX.
SpaceX scored a legal victory after the National Labor Relations Board (NLRB) decided to dismiss a case which accused the company of terminating engineers who were involved in an open letter against founder Elon Musk.
The NLRB confirmed that it no longer has jurisdiction over SpaceX. The update was initially shared by Bloomberg News, which cited a letter about the matter it reportedly reviewed.
In a letter to the former employees’ lawyers, the labor board stated that the affected employees were under the jurisdiction of the National Mediation Board (NMB), not the NLRB. As a result, the labor board stated that it was dismissing the case.
As per Danielle Pierce, a regional director of the agency, “the National Labor Relations Board lacks jurisdiction over the Employer and, therefore, I am dismissing your charge.”
The NMB typically oversees airlines and railroads. The NLRB, on the other hand, covers most private-sector employers, as well as manufacturers such as Boeing.
The former SpaceX engineers have argued that the private space company did not belong under the NMB’s jurisdiction because SpaceX only offers services to “hand-picked customers.”
In an opinion, however, the NMB stated that SpaceX was under its jurisdiction because “space transport includes air travel” to get to outer space. The mediation board also noted that anyone can contact SpaceX to secure its services.
SpaceX had previously challenged the NLRB’s authority in court, arguing that the agency’s structure was unconstitutional. Jennifer Abruzzo, the NLRB general counsel under former United States President Joe Biden, rejected SpaceX’s claims. Following Abruzzo’s termination under the Trump administration, however, SpaceX asked the labor board to reconsider its arguments.
SpaceX is not the only company that has challenged the constitutionality of the NLRB. Since SpaceX filed its legal challenge against the agency in 2024, other high-profile companies have followed suit. These include Amazon, which has filed similar cases that are now pending.
News
Tesla accuses IG Metall member of secretly recording Giga Berlin meeting
The union has denied the electric vehicle maker’s allegations.
Police seized the computer of an IG Metall member at Tesla Giga Berlin on Tuesday amid allegations that a works council meeting was secretly recorded.
The union has denied the electric vehicle maker’s allegations.
In a post on X, Gigafactory Berlin plant manager André Thierig stated that an external union representative from IG Metall attended a works council meeting and allegedly recorded the session. Thierig described the event as “truly beyond words.”
“What has happened today at Giga Berlin is truly beyond words! An external union representative from IG Metall attended a works council meeting. For unknown reasons he recorded the internal meeting and was caught in action! We obviously called police and filed a criminal complaint!” Thierig wrote in his post on X.
Police later confirmed to local news outlet rbb24 that officers did seize a computer belonging to an IG Metall member at the Giga Berlin site on Tuesday afternoon. Tesla stated that employees had contacted authorities after discovering the alleged recording.
IG Metall denied Tesla’s accusations, arguing that its representative did not record the meeting. The union alleged that Tesla’s claim was simply a tactic ahead of upcoming works council elections.
The next works council election at Giga Berlin is scheduled for March 2 to 4, 2026. The facility’s management had confirmed the dates to local news outlets. The official announcement marks the start of the election process and campaign period.
Approximately 11,000 employees are eligible to participate in the vote.
The previous works council election at the plant took place in 2024, and it was triggered by a notable increase in workforce size. Under German labor law, regular works council elections must be held every four years between March 1 and May 31.
Elon Musk
Elon Musk’s xAI plants flag in Bellevue AI hotspot
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Elon Musk’s artificial intelligence company xAI has leased a full floor at Lincoln Square South in downtown Bellevue, WA, as per city permit filings.
The lease places xAI’s new office in one of the region’s fastest-growing tech hubs.
Public records indicate that xAI leased roughly 24,800 square feet in Lincoln Square South. The location was previously occupied by video game company Epic Games. Lincoln Square South is part of the Bellevue Collection, which is owned by Kemper Development Co.
The lease was first referenced in January by commercial real estate firm Broderick Group, which noted that an unnamed tenant had secured the space, as stated in a report from the Puget Sound Business Journal. Later filings identified xAI as the occupant for the space.
xAI has not publicly commented on the lease.
xAI hinted at plans to open an office in the Seattle area back in September, when the startup posted job openings with salaries ranging from $180,000 to $440,000. At the time, the company had narrowed its location search to cities on the Eastside but had not finalized a lease.
xAI’s Bellevue expansion comes as Musk continues consolidating his businesses. Last week, SpaceX acquired xAI in a deal that valued the artificial intelligence startup at $250 billion. SpaceX itself is now valued at roughly $1.25 trillion and is expected to pursue an initial public offering (IPO) later this year.
Musk already has a significant presence in the region through SpaceX, which employs about 2,000 workers locally. That initiative, however, is focused largely on Starlink satellite development.
Bellevue has increasingly become a center for artificial intelligence companies. OpenAI has expanded its local office footprint to nearly 300,000 square feet. Data infrastructure firms such as Crusoe and CoreWeave have also established offices downtown.
SpaceX secures win as US labor board drops oversight case
Tesla accuses IG Metall member of secretly recording Giga Berlin meeting
