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Tesla announces new Supercharger pricing model: fee per kWh and tiered by power
Tesla has announced an update to its Supercharger program that involves a new pricing model billed per kilowatt-hour or through a two-tiered pricing structure that will be based on charging power and duration of use, depending on region-specific regulations.
Though the preferred pricing model is billed per kilowatt-hour, says Tesla through its blog post, some regions prevent non-utility companies from selling energy to consumers. In these instances, Tesla will charge a Supercharger fee billed per minute of use as opposed to by the kilowatt-hour. Vehicles that charge at or below 60 kW will fall into “tier 1” and billed at half the cost of “tier 2”. Tesla cars charging above 60 kW will fall under the “tier 2” pricing structure.
Today’s update to Tesla’s Supercharger program follows a recent announcement made by the Silicon Valley-based electric car company that it will impose a $.40 per minute idle fee on vehicles that remain plugged in after it has already reached its charging limit.
“We designed the Supercharger network to enable a seamless, enjoyable road trip experience. Therefore, we understand that it can be frustrating to arrive at a station only to discover fully charged Tesla cars occupying all the spots. To create a better experience for all owners, we’re introducing a fleet-wide idle fee that aims to increase Supercharger availability.”, said Tesla through a press release last month.
All Tesla vehicles ordered after January 15, 2017 will continue to receive 400 kWh of free Supercharger credits per year, which is equivalent to approximately 1,000 miles of long-distance driving. Any usage exceeding 400 kWh will incur a usage fee that will either be charged per kilowatt-hour or by the minute. Rates within North America will vary by state or province, while Tesla Supercharger use overseas will incur a fixed rate set by country.
Tesla notes that it does not intend to profit from the new fee structure. Rather, the company is only looking to recover a portion of the costs and set up a fair system for everyone.
Example of Supercharger fees by state
- California – $0.20 per kWh
- Connecticut
- $0.26 per minute for tier 2
- $0.13 per minute for tier 1
- Florida – $0.13 per kWh
- Georgia
- $0.16 per minute for tier 2
- $0.08 per minute for tier 1
- Massachusetts – $0.22 per kWh
- New Jersey
- $0.20 per minute for tier 2
- $0.10 per minute for tier 1
- New York – $0.19 per kWh
- Pennsylvania
- $0.20 per minute for tier 2
- $0.10 per minute for tier 1
We’ve provided Tesla’s full announcement below, which also includes a link to the full list of charging fees by region.
Building the Supercharger Network for the Future
Tesla created the Supercharger network to make long-distance travel a seamless experience for drivers. Cars have always represented independence and the freedom to travel wherever and whenever people want to go. To enable this freedom, building a charging network that provides quick, convenient, and long-distance travel is critical to the adoption of electric vehicles. One of our top priorities this year is to significantly increase capacity of our Supercharger network.
In November, we announced a change in the Supercharger program that allows us to reinvest in the network, accelerate its growth, relieve congestion, and bring all Tesla owners, current and Model 3, the best Supercharging experience. Tesla Model S and Model X cars ordered after January 15, 2017 will receive 400 kWh (kilowatt-hour) of free Supercharging credits (roughly 1,000 miles) annually on the anniversary of their delivery. We carefully considered current Supercharger usage and found that 400 kWh covers the annual long-distance driving needs of the majority of our owners. As a result, most owners will continue to enjoy the benefits of Supercharging on road trips at no additional cost.
If customers travel beyond their annual credit, they will be charged a small fee to Supercharge. In North America, pricing is fixed within each state or province; overseas, pricing is fixed within each country. In most regions, Tesla owners will pay per kWh as it’s the fairest way to pay for the exact energy used. However, due to local regulations, in several regions we will charge per minute of usage instead, though we are actively working with regulators to update the rules. What’s important is that in every region, Supercharging will remain simple, seamless and always significantly cheaper than gasoline. We are only aiming to recover a portion of our costs and set up a fair system for everyone; this will never be a profit center for Tesla. Customers can just plug in, charge up, and access their charging history on our website.
To put the affordability of Supercharging into perspective, customers will pay about $15 for a road trip from San Francisco to Los Angeles, about $120 from Los Angeles to New York, about €60 from Paris to Rome, and about ¥400 from Beijing to Shanghai.
We are excited to continue the expansion of the world’s fastest and most sophisticated charging network. Additional program details are available here.
Tesla CEO Elon Musk posted a photo of himself standing with the Optimus production team inside Tesla’s Fremont factory, arms crossed amid workers in hard hats and safety vests. The image captures a pivotal industrial shift: the same facility space once dedicated to building Tesla’s flagship Model S sedan and Model X SUV is now home to the company’s humanoid robot manufacturing line.
Walking the Optimus production line in Fremont pic.twitter.com/ABS0tuRibW
— Elon Musk (@elonmusk) July 1, 2026
Tesla’s Fremont Factory, acquired in 2010 from the former NUMMI joint venture between Toyota and GM, has been the company’s original U.S. manufacturing hub since Model S production began in 2012.
The Model X followed soon thereafter. These premium vehicles offered lower annual volumes, recently around 30,000 combined, compared to the high-volume Model 3 and Model Y lines that continue around the site. Over their combined run, the S and X accounted for roughly 610,000 units.
In late January 2026, during Tesla’s Q4 2025 earnings call, Elon Musk announced the end of Model S and Model X production in Q2 2026. The final vehicles rolled off the line in early May. Rather than retooling for another vehicle, Tesla chose to convert the dedicated S/X assembly area into a dedicated Optimus Gen 3 production line.
Model 3 and Y manufacturing remains unaffected. Tesla’s official Fremont Factory page now lists Optimus alongside the 3 and Y as core products.
The conversion was executed with remarkable speed. After production stopped, crews dismantled the existing vehicle line and installed entirely new modular equipment—including lines sourced from Germany and dozens of sub-lines for actuators, batteries, and other components—in roughly four months.
Musk described the timeline as “insanely fast,” noting it would be unprecedented for any other manufacturer. Initial Optimus output is expected to ramp slowly due to the robot’s roughly 10,000 unique parts and the brand-new production processes involved. The Fremont line targets an eventual capacity of 1 million Optimus units per year.
Tesla isn’t joking about building Optimus at an industrial scale: Here we go
Optimus Development Timeline
- August 19, 2021: Optimus (then called Tesla Bot) formally announced at Tesla’s first AI Day. A concept video showed a person in a suit demonstrating the vision for a general-purpose humanoid capable of dangerous, repetitive, or boring tasks using the same AI architecture as Full Self-Driving.
- 2022: Early prototypes displayed. At the second AI Day in September, semi-functional units demonstrated walking across a stage and basic arm movements
- 2023: September videos showed improved capabilities, including sorting colored blocks, precise limb awareness, and holding a Yoda pose.
- 2024-early 2025: Factory integration videos showed Optimus navigating workspaces and handling objects like battery cells.
- January 2026: Gen 3 mass-production activities began at Fremont, with reports of over 1,000 Gen 3 units already operating inside the factory for real-world learning and AI training
- April 2026: Musk confirms Optimus production on converted Fremont line would begin in late July or August 2026. The Gen 3 reveal, originally eyed for Q1, was pushed closer to production start. A second, much larger Optimus factory at Giga Texas is under construction, with volume production targeted for Summer 2027 and long-term capacity of 10 million units annually
- July 1, 2026: Musk’s on-site visit and team photo confirm the Optimus line is operational and the transition is actively progressing
Tesla positions Optimus as potentially its largest project ever, leveraging vertical integration, AI expertise, and car-like manufacturing know-how to scale humanoid robots first for its own factories and later for broader industrial and consumer use.
The Fremont conversion serves as a critical proving ground for this ambitious new chapter in Tesla’s already-rich history.
Investor's Corner
Tesla gets its latest short from Michael Burry: ‘Happy it jumped back to this level’
Tesla short seller Michael Burry, the subject of the film “The Big Short,” where he was portrayed by Steve Carell, has revealed he has opened a new bet against the stock.
In a new update to his Substack newsletter in a post titled “Trading Post June 30, 2026,” Burry revealed a new set of bets against Tesla, Caterpillar, NVIDIA, Applied Materials Inc., and the iShares Semiconductor ETF.
In regard to Tesla, Burry wrote:
“And finally I shorted Tesla at 416.22. Happy it jumped back to this level.”
This means Burry likely opened his new short position after the company’s recent rally on Wall Street, which saw Tesla shares sink in mid-May, only to recover to well over the $400 mark. Currently, shares trade at around $427.
The company saw a big Tuesday as shares climbed considerably, over 10 percent. The size of the Tesla short was not provided, nor did Burry give any information on the position’s structure, the number of shares, dollar value, or whether options were used in the short.
The Tesla and SpaceX merger everyone is talking about is quietly building
Over the years, Burry has been one of the more vocal critics of Tesla, calling its share price “media inflated,” and saying it was “ridiculously overvalued” as recently as December.
The company has largely transitioned away from being known as an automotive company and instead is much more widely regarded as an AI play, mostly due to its Full Self-Driving efforts, Optimus robot development, and data collection related to both.
This has not pulled those skeptics away from being vocal about their distaste for how Tesla is valued, but there’s no denying that the company is a global force in many things, including sustainable energy, automotive, and AI.
Wedbush Securities is initiating stock coverage on SpaceX (NASDAQ: SPCX), marking the first comments on the company since it went public several weeks ago. Wedbush and its analyst handling coverage, Dan Ives, are widely bullish on fellow Musk company Tesla (NASDAQ: TSLA).
Ives wrote his first note initiating coverage of SpaceX shares on Wednesday with a $190 price target and an ‘Outperform’ rating. The firm believes the company is well positioned off of its IPO because of its wide array of projects, including AI compute power and infrastructure, connectivity projects, and launches.
“We view SpaceX as one of the most differentiated assets within the tech market with a strong footprint across its three core markets, with Starlink driving success with connectivity,” Ives wrote, “Starship launches leading to a demand flywheel and increasing deal flow for its Colossus clusters.”
Elon Musk called it Epic: The full story of SpaceX’s Starship Flight 12
Wedbush leans heavily on Starlink, which they say is the “profitability driver given the strength of its recurring revenue base of ~12 million subscribers as of June 5th.” Ives believes Starlink is still in the “early innings” of penetrating the global telecommunications and broadband market, as it only holds less than a 1 percent share. However, this number is sure to increase over time.
It also highlights the importance of Starship, which it says is an “essential layer” of SpaceX’s overall success. SpaceX developing and displaying the ability to reuse rockets is a major cost and reliability advantage “as it reduces the necessary hardware launch costs while generating a feedback loop for future flights to improve their launch flight rate without accelerating capex spend.”
Finally, SpaceX’s recent AI/Compute projects are also very elementary, Ives writes. It is worth mentioning Wedbush said its $190 price target is derived from a valuation forecast that sees the company yielding roughly $2.48 trillion of implied enterprise value.
There are also some factors that Wedbush did not take into account with its initial coverage. The firm wrote in the note:
“We note that there is optional value coming from Starship’s accelerating scale towards sub-$200/kg unit economics, orbital data centers, and enterprise AI monetization as these factors could drive meaningful upside but these face major hurdles, so we do not take that into account with our valuation.”
SpaceX shares are down just over 2 percent today, trading at around $167 at the time of publication.
Tesla Optimus project fires up as Musk sees production line progress
Tesla gets its latest short from Michael Burry: ‘Happy it jumped back to this level’
