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Tesla denied grant applications in Texas for Superchargers despite fractional costs

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Tesla recently applied for a series of grants through a program in the State of Texas that would cover up to 70 percent of an electric vehicle charging stall installation. However, the applications from the United States’ leading electric automaker were denied, despite costs being a fraction of what competitor installations would cost. According to a report from Forbeswhich examined the rejected applications and what would instead be installed, Texas is doing itself a disservice, selecting “the most expensive stations in the worst locations for their money.”

Despite a laid out sheet of ground rules, which tend to gravitate toward impartial and unbiased selections, it does not always work out that way. The $21 million in grants, which are awarded on a first-come-first-serve basis, provided enough funding for 170 chargers at 41 stations. Tesla’s applications were not selected for a single project, despite aligning with the grant’s requirements, which would have made Tesla install CHAdeMO or CCS connectors, which would open the Superchargers up to other car manufacturers.

Interestingly, the article states that around 70 percent of EVs on the road would benefit from even more Tesla Superchargers. The robust network of global charging stations for Tesla, which recently eclipsed 30,000 worldwide, provides energy for the industry’s best EVs. Sales figures for Tesla are simply incomparable to other EV companies, as it is the only company in the United States to consistently mark hundreds of thousands of deliveries per quarter, with each one being an electric powertrain.

Tesla’s Superchargers would not have only benefitted drivers of the all-electric automaker’s products. The Forbes report indicates Tesla had only applied for a “small portion” of the money to build its first four stations, which would also accept non-Tesla EVs, much like a “pilot” program the company has started to test in Europe.

Tesla’s non-Tesla Supercharger pilot program expands to France, Norway

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While it has not yet happened in the United States, Tesla Superchargers could be used to provide energy to other EV manufacturer products. Tesla stands to gain in other ways, too, as the company allowing other cars to access its infrastructure would help relieve range anxiety concerns. However, its biggest advantage is having 70 percent of the station covered by grant money.

Even if Tesla planned to use the grant funds to expand its charging infrastructure, the decision not to accept their applications is questionable. The prices in unaccepted grant applications, representing up to 70 percent of the actual cost, are as follows:

  1. Chargepoint: $150K+ for 2-plex
  2. EVgo: $150K+ for pair, $126K for 4-plex
  3. Circle-K: $75K for 4-plex to $150K+ for 2-plex
  4. 7-11: $126K for 2-plex
  5. “Retail EV Charging North/South Texas” (Buc-ee’s) $100K/charger for 6-plex
  6. Various small players: $75K to $150K, averaging at least $133K/charger
  7. Accepted applications so far from various players average $123K+/charger
  8. Tesla: $29K for 17-plex, $42K for 9-plex

Opening up potential Supercharger locations to other automakers would be extremely advantageous from a cost perspective. It also would give Tesla the ability to test the waters of a potential pilot program in the United States, with plenty of restrictions that would still give Tesla owners prioritization at the stalls.

Ultimately, the EV infrastructure doesn’t seem to gain any benefits from what the Forbes article’s author, Brad Templeton, calls “misguided grants.” Instead, funding the EV infrastructure with what drivers actually need, which is more stations in advantageous areas, like shopping centers or tourist destinations, is the answer.

I’d love to hear from you! If you have any comments, concerns, or questions, please email me at joey@teslarati.com. You can also reach me on Twitter @KlenderJoey, or if you have news tips, you can email us at tips@teslarati.com.

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Joey has been a journalist covering electric mobility at TESLARATI since August 2019. In his spare time, Joey is playing golf, watching MMA, or cheering on any of his favorite sports teams, including the Baltimore Ravens and Orioles, Miami Heat, Washington Capitals, and Penn State Nittany Lions. You can get in touch with joey at joey@teslarati.com. He is also on X @KlenderJoey. If you're looking for great Tesla accessories, check out shop.teslarati.com

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Tesla rolls out most aggressive Model Y lease deal in the US yet

With the promotion in place, customers would be able to take home a Model Y at a very low cost.

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(Credit: Tesla)

Tesla has rolled out what could very well be its most aggressive promotion for Model Y leases in the United States yet. With the promotion in place, customers would be able to take home a Model Y at a very low cost.

Zero downpayment leases

The new Model Y lease promotion was initially reported on X, with industry watcher Sawyer Merritt stating that while the vehicles’ monthly payments are still similar to before, the cars can now be ordered with a $0 downpayment. 

Tesla community members noted that this promotion would cut the full payment cost of Model Y leases by several thousand dollars, though prices were still a bit better when the $7,500 federal tax credit was still in effect. Despite this, a $0 downpayment would likely be appreciated by customers, as it lowers the entry point to the Tesla ecosystem by a notable margin.

Premium freebies included

Apart from a $0 downpayment, customers of Model Y leases are also provided one free upgrade for their vehicles. These upgrades could be premium paint, such as Pearl White Multi-Coat, Deep Blue Metallic, Diamond Black, Quicksilver or Ultra Red, or 20″ Helix 2.0 Wheels. Customers could also opt for a White Interior or a Tow Hitch free of charge.

A look at Tesla’s Model Y order page shows that the promotion is available for all the Model Y Premium Rear-Wheel Drive and the Model Y Premium All-Wheel Drive. The Model Y Standard and the Model Y Performance are not eligible for the $0 downpayment or free premium upgrade promotion as of writing. 

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Tesla is looking to phase out China-made parts at US factories: report

Tesla has reportedly swapped out several China-made components already, aiming to complete the transition within the next two years.

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(Source: Tesla)

Tesla has reportedly started directing its suppliers to eliminate China-made components from vehicles built in the United States. This would make Tesla’s US-produced vehicles even more American-made.

The update was initially reported by The Wall Street Journal.

Accelerating North American sourcing

As per the WSJ report, the shift reportedly came amidst escalating tariff uncertainties between Washington and Beijing. Citing people reportedly familiar with the matter, the publication claimed that Tesla has already swapped out several China-made components, aiming to complete the transition within the next two years. The publication also claimed that Tesla has been reducing its reliance on China-based suppliers since the pandemic disrupted supply chains.

The company has quietly increased North American sourcing over the past two years as tariff concerns have intensified. If accurate, Tesla would likely end up with vehicles that are even more locally sourced than they are today. It would remain to be seen, however, if a change in suppliers for its US-made vehicles would result in price adjustments for cars like the Model 3 and Model Y.

Industry-wide reassessments

Tesla is not alone in reevaluating its dependence on China. Auto executives across the automotive industry have been in rapid-response mode amid shifting trade policies, chip supply anxiety, and concerns over rare-earth materials. Fluctuating tariffs between the United States and China during President Donald Trump’s current term have made pricing strategies quite unpredictable as well, as noted in a Reuters report. 

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General Motors this week issued a similar directive to thousands of suppliers, instructing them to remove China-origin components from their supply chains. The same is true for Stellantis, which also announced earlier this year that it was implementing several strategies to avoid tariffs that were placed by the Trump administration. 

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Tesla owners propose interesting theory about Apple CarPlay and EV tax credit

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

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Credit: Tesla Raj/YouTube

Tesla is reportedly bracing for the integration of Apple’s well-known iOS automotive platform, CarPlay, into its vehicles after the company had avoided it for years.

However, now that it’s here, owners are more than clear that they do not want it, and they have their theories about why it’s on its way. Some believe it might have to do with the EV tax credit, or rather, the loss of it.

Owners are more interested in why Tesla is doing this now, especially considering that so many have been outspoken about the fact that they would not use it in favor of the company’s user interface (UI), which is extremely well done.

After Bloomberg reported that Tesla was working on Apple CarPlay integration, the reactions immediately started pouring in. From my perspective, having used both Apple CarPlay in two previous vehicles and going to Tesla’s in-house UI in my Model Y, both platforms definitely have their advantages.

However, Tesla’s UI just works with its vehicles, as it is intuitive and well-engineered for its cars specifically. Apple CarPlay was always good, but it was buggy at times, which could be attributed to the vehicle and not the software, and not as user-friendly, but that is subjective.

Nevertheless, upon the release of Bloomberg’s report, people immediately challenged the need for it:

Some fans proposed an interesting point: What if Tesla is using CarPlay as a counter to losing the $7,500 EV tax credit? Perhaps it is an interesting way to attract customers who have not owned a Tesla before but are more interested in having a vehicle equipped with CarPlay?

“100%. It’s needed for sales because for many prospective buyers, CarPlay is a nonnegotiable must-have. If they knew how good the Tesla UI is, they wouldn’t think they need CarPlay,” one owner said.

Tesla has made a handful of moves to attract people to its cars after losing the tax credit. This could be a small but potentially mighty strategy that will pull some carbuyers to Tesla, especially now that the Apple CarPlay box is checked.

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