UPDATE: Tesla Seeks $8 Million Incentive Linked To Gigafactory
Tesla was reportedly seeking up to $8 million in incentives payouts linked to the Gigafactory in Nevada from a recent Nevada Governor’s Office Audit report. It got that, and then some.
*UPDATE: The audit is complete. Tesla will receive $11,567,061 in transferable tax credits.
A couple weeks ago, Nevada state lawmakers toured the Gigafactory to assess progress at the site.
At approximately the same time, Tesla filed an application with state utility regulators for an incentive payout from the Nevada Legislature.
As Review Journal explains:
“The application with the state Public Utilities Commission would allow the electric car manufacturer to implement and use the Economic Development Rate Rider, worth $8 million.”
“The rate rider program, created in 2013, allows the Governor’s Office of Economic Development to offer reduced energy rates to new, large-scale users as part of an incentive package. In 2014, GOED issued a pre-approval for Tesla for the EDRR.”
Tesla’s long-term intention is to power the Gigafactory by solar, so this incentive deal seems more beneficial for the near future. However, the application filed by Tesla does outline a 10-year contract with NV Energy and asks for a discount on up to 25 MWh of power to be used over the next 8 years.
Via the Audit/Update report:
Pursuant to NRS 360.955 and the Tesla Motors Incentive Agreement (“Agreement”) the Governor’s Office of Economic Development (“Office”) has certified the fourth compliance audit of Tesla Motors, Inc. (“Tesla”) for the period covering July 1, 2016 through September 30, 2016.
The Agreement allows Tesla to report on a period shorter than one fiscal year. As such, the Office has determined all requirements have been met to issue to Tesla transferable tax credits totaling $11,567,061.
Source: Review Journal