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Teslas and other EVs could enter a golden decade with newly-introduced US bill
Teslas and other electric cars may very well enter a golden age of sorts in the United States, if a newly-proposed bill makes it through. Dubbed as the Electric CARS Act, the bill aims to update the EV tax credit by extending it for ten years and removing the number of eligible vehicles per manufacturer. The bill also seeks to support the buildout of more electric car charging infrastructure.
A federal tax credit of up to $7,500 is currently available for customers who purchase an electric vehicle. However, the current system phases out this credit after an automaker sells its first 200,000 electric cars. Tesla and General Motors have both passed this threshold, which means buyers of both companies’ electric vehicles no longer receive their $7,500 tax credit. With this system in place, the United States practically makes incentives for car buyers to purchase imported EVs instead of those from local automakers like GM.
Tesla, for its part, has been pushing its electric vehicles without the $7,500 tax credit since the end of 2018 (reduced credits were implemented over 2019), when the company passed its 200,000-vehicle threshold. Fortunately, Tesla’s vehicles like the Model 3 and Model Y have stood well on their own merits, garnering critical and consumer support even without tax credits. If the Electric CARS Act passes, companies like Tesla could make an even stronger push into the automotive sector.
The Electric CARS Act aims to improve the federal tax credit through the following means:
- The elimination of the cap for EV makers. The bill would allow consumers access to the tax credit for the next ten years, regardless of the manufacturer they buy their EV from. Under these terms, even Tesla and GM electric car buyers would be able to get their tax credits once more.
- A 5-year use period. The bill would allow buyers to use their respective tax credits over a 5-year period, meaning that EV customers could apply the credit either at the point of purchase or later on. Such a system would make the tax credit more applicable to buyers without large tax liabilities.
- Charging infrastructure support. The bill would provide a 10-year extension of tax credits for alternative fuel vehicles and charging infrastructure. This incentivizes the buildout of EV charging systems like Tesla’s Supercharger Network and other rapid charging services like Electrify America.
The Electric CARS Act is sponsored by Jeff Merkley (D-OR) and Rep. Peter Welch (D-VT), both of whom highlighted the importance of the electric vehicle sector in the United States. In a statement to Channel 21 News, Merkley stated that the bill is apt considering the ongoing climate chaos. He also highlighted the importance of supporting EVs made by American workers in American factories.
“As climate chaos continues to ramp up with record-setting winter storms, violent hurricanes, and catastrophic wildfires, it is imperative that we transition away from gasoline-powered vehicles, which are fanning the flames of the crisis. Consumers are already looking for electric cars, and this bill will help drive adoption faster—and make sure more of those cars are made by American workers in American factories,” Merkley said.
Welch, for his part, explained that supporting electric cars would be a common-sense win for consumers, especially considering that EVs are practical to own.
“We need to quickly and aggressively invest in electric vehicles to combat the global climate emergency that threatens all of our local communities. Owning an electric vehicle can be cheaper and offers significant public health and environmental benefits, but for many Americans, they are unaffordable at the dealership. This bill makes the next generation of electric vehicles accessible to more people by allowing them to receive the electric vehicle tax credit right away. Encouraging electric vehicle adoption is a common-sense win for consumers, the environment, and American workers,” Welch noted.
Led by Tesla and its S3XY line, electric vehicles have disrupted the automotive industry, even without the presence of the $7,500 tax credit. With the Electric CARS Act in effect, companies like Tesla could reach an even bigger consumer market, bringing EVs further into mainstream buyers. Ultimately, the newly-proposed bill has the potential to usher in a golden age of electric cars in the United States. After all, if Tesla could emerge as a competitive automaker even without the country’s primary EV incentive, one could only imagine the heights the company could reach with less handicaps.
The text of the Electric CARS Act could be viewed below.
21.02.23 Electric Cars 2021 by Simon Alvarez on Scribd
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Tesla has made two big interior changes to several Model Y vehicles in its lineup, and the changes come just as the new model year begins production.
Last year, Tesla launched the Model Y Standard, which separated the previous models into the “Premium” category. The Standard vehicles lack several features, including more premium interior materials, acoustic-lined glass, and storage.
@teslarati There are some BIG differences between the Tesla Model Y Standard and Tesla Model Y Premium #tesla #teslamodely ♬ Sia – Xeptemper
The Model Y “Premium” trims are now getting several new upgrades, which come after the company launched a seven-seat configuration of the vehicle last night in the North American market for an upcharge of $2,500.
The new Model Y seven-seat configuration did not come with just an additional row of seating; it also came with a slew of other goodies that now come standard and were previously only available on the Model Y Performance, which was launched late last year.
All Black Headliner
The new Tesla Model Y Premium trims will now come standard with a black headliner, something that many owners have been requesting for some time.
The previous grey headliner and trim within the vehicle is now gone; it will be all black on all of the Premium trims from here on out, a welcome change:
Credit: Tesla
Larger and Higher Resolution Center Touchscreen
The center touchscreen in the new Model Y Premium configuration is now larger and has a higher resolution than the previous version.
In last year’s Model Y configurations (apart from the Performance), the center touchscreen was 15.4″. Now, Tesla has decided to go with the 16″ version across all Premium trims, which is a nice step up. It was nice to see this in the Performance, but it is really great to see Tesla include this in the Model Y’s more Premium trim levels.
Tesla Model Y Seven Seater
Tesla launched the latest iteration of the seven-seater for the Model Y on Monday night. Traditionally, the Model Y seats five passengers in total, but there were calls for a more spacious version several years ago.
Tesla released it, but it was extremely tight in the back, basically reserving those back seats for only small people or children.
Credit: Tesla
The new configuration looks to be slightly more spacious in the third row, but not as much space as most would require or want. Instead,
Elon Musk
Lufthansa Group to equip Starlink on its 850-aircraft fleet
Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release.
Lufthansa Group has announced a partnership with Starlink that will bring high-speed internet connectivity to every aircraft across all its carriers.
This means that aircraft across the group’s brands, from Lufthansa, SWISS, and Austrian Airlines to Brussels Airlines, would be able to enjoy high-speed internet access using the industry-leading satellite internet solution.
Starlink in-flight internet
Under the collaboration, Lufthansa Group will install Starlink technology on both its existing fleet and all newly delivered aircraft, as noted by the group in a press release.
Starlink’s low-Earth orbit satellites are expected to provide significantly higher bandwidth and lower latency than traditional in-flight Wi-Fi, which should enable streaming, online work, and other data-intensive applications for passengers during flights.
Starlink-powered internet is expected to be available on the first commercial flights as early as the second half of 2026. The rollout will continue through the decade, with the entire Lufthansa Group fleet scheduled to be fully equipped with Starlink by 2029. Once complete, no other European airline group will operate more Starlink-connected aircraft.
Free high-speed access
As part of the initiative, Lufthansa Group will offer the new high-speed internet free of charge to all status customers and Travel ID users, regardless of cabin class. Chief Commercial Officer Dieter Vranckx shared his expectations for the program.
“In our anniversary year, in which we are celebrating Lufthansa’s 100th birthday, we have decided to introduce a new high-speed internet solution from Starlink for all our airlines. The Lufthansa Group is taking the next step and setting an essential milestone for the premium travel experience of our customers.
“Connectivity on board plays an important role today, and with Starlink, we are not only investing in the best product on the market, but also in the satisfaction of our passengers,” Vranckx said.
Elon Musk
Tesla locks in Elon Musk’s top problem solver as it enters its most ambitious era
The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.
Tesla has granted Senior Vice President of Automotive Tom Zhu more than 520,000 stock options, tying a significant portion of his compensation to the company’s long-term performance.
The generous equity award was disclosed by the electric vehicle maker in a recent regulatory filing.
Tesla secures top talent
According to a Form 4 filing with the U.S. Securities and Exchange Commission, Tom Zhu received 520,021 stock options with an exercise price of $435.80 per share. Since the award will not fully vest until March 5, 2031, Zhu must remain at Tesla for more than five years to realize the award’s full benefit.
Considering that Tesla shares are currently trading at around the $445 to $450 per share level, Zhu will really only see gains in his equity award if Tesla’s stock price sees a notable rise over the years, as noted in a Sina Finance report.
Still, even at today’s prices, Zhu’s stock award is already worth over $230 million. If Tesla reaches the market cap targets set forth in Elon Musk’s 2025 CEO Performance Award, Zhu would become a billionaire from this equity award alone.
Tesla’s problem solver
Zhu joined Tesla in April 2014 and initially led the company’s Supercharger rollout in China. Later that year, he assumed the leadership of Tesla’s China business, where he played a central role in Tesla’s localization efforts, including expanding retail and service networks, and later, overseeing the development of Gigafactory Shanghai.
Zhu’s efforts helped transform China into one of Tesla’s most important markets and production hubs. In 2023, Tesla promoted Zhu to Senior Vice President of Automotive, placing him among the company’s core global executives and expanding his influence beyond China. He has since garnered a reputation as the company’s problem solver, being tapped by Elon Musk to help ramp Giga Texas’s vehicle production.
With this in mind, Tesla’s recent filing seems to suggest that the company is locking in its top talent as it enters its newest, most ambitious era to date. As could be seen in the targets of Elon Musk’s 2025 pay package, Tesla is now aiming to be the world’s largest company by market cap, and it is aiming to achieve production levels that are unheard of. Zhu’s talents would definitely be of use in this stage of the company’s growth.
Tesla makes two big interior changes to several Model Y vehicles
Lufthansa Group to equip Starlink on its 850-aircraft fleet
