Credit: Tesla/Inhabitat
Tesla has been in negotiations for several months about the site of what will be the world's largest lithium ion battery factory. Candidates included Arizona, California, Nevada, New Mexico, & Texas. Cost will be $5 billion, $500 million of which will be provided as incentives from the chosen state.
http://www.teslamotors.com/about/press/releases/nevada-selected-official-site-tesla-battery-gigafactory
Tesla is establishing what has become known as the Gigafactory to push the price of electric vehicles (EVs) down. Price cutting is an aim of all business entities. In this particular case, it has a special purpose for Tesla's Model 3 (formerly Model E). Major design parameters are 200 mile range & $35,000 price point. To meet the Model 3 price point, EV battery price must fall by 30% [1]. Tesla's recipe for this price reduction is the Gigafactory.
Nevada won after a lengthy battle, including claims that California offered to waive certain environmental provisions [2].
To Tesla's credit, a spokesman replied, “It would be completely counter to the mission of the company to go against environmental legislation.” [3]
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[1] Model E price point requires 30% reduction in EV battery cost:
http://www.techtimes.com/articles/7048/20140515/elon-musk-200-gigafactories-must-be-built-to-lower-lithium-battery-prices.htm
[2] California rumoured to offer to waive environmental rules:
http://touch.latimes.com/#section/-1/article/p2p-81059930/
[3] Tesla doesn't want environmental rules waived:
http://www.siliconbeat.com/2014/08/14/tesla-we-have-to-respect-the-integrity-of-ceqa/ / Tesla Elon Musk LiIon lithium ion battery pack charge recharge range press conference electric car Tesla Motors gigafactory Nevada state governor Brian Sandoval Carson City Project Tiger site USA Parkway Business Park Reno Tesla gigafactory San Jose Mercury News spokeswoman Liz Jarvis-Shean site preparation work Reno Tahoe Industrial Center huge plant Tesla CEO Elon Musk stay on schedule start production lithium-ion cells battery packs /
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