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Tesla says Chris Christie's move is 'affront to the very concept of a free market'

Tesla has a special history with the state of New Jersey, having delivered the 500th Roadster there in 2009. Fast forward to 2014, though, and the electric vehicle company is having a decidedly less-positive experience in the Garden State. In short, Tesla's ongoing dealer fight has turned sour, and thing are potentially going from bad to worse today. Tesla says it has been working "constructively" with the New Jersey Motor Vehicle Commission (NJMVC) and Governor Chris Christie's administration "to defend against the New Jersey Coalition of Automotive Retailers' (NJ CAR) attacks on Tesla's business model and the rights of New Jersey consumers." In other words, the right for Tesla to open its own stores and not use the traditional dealer model. The legislative process on the fate of Proposal PRN 2013-138 (PDF) has been continuing and Tesla says it thought everyone was acting in good faith, but now it's not so sure. In a new official blog post, Tesla says: Unfortunately, Monday we received news that Governor Christie's administration has gone back on its word to delay a proposed anti-Tesla regulation so that the matter could be handled through a fair process in the Legislature. The Administration has decided to go outside the legislative process by expediting a rule proposal that would completely change the law in New Jersey. This new rule, if adopted, would curtail Tesla's sales operations and jeopardize our existing retail licenses in the state. ... This is an affront to the very concept of a free market. A meeting on the proposal is scheduled to take place this afternoon, and Tesla is not happy about it. In Ohio last year, Tesla asked for immediate help to stop a similar bill, which ended up working. For a while. Last year, New Jersey started considering an EV-only tax that would cost EV drivers about $100 a year, but that appears to have been scrapped.

Our love of SUVs is killing people in the streets

Americans are fond of supersized fast-food meals and colossal convenience-store fountain drinks, even though they're clearly bad for our health and U.S. adults keep getting fatter. We also like large vehicles, and our love affair with SUVs is killing people in the streets. According to a recent investigation by the Detroit Free Press/USA Today, the increase in SUV sales over the past several years coincides with a sharp rise in pedestrian deaths in the U.S. — up 46 percent since 2009, with nearly 6,000 people killed in 2016 alone. With SUV sales surpassing sedans in 2014 and pickups and SUVs currently accounting for 60 percent of new vehicle sales, it's no wonder Ford announced in April plans to cease U.S. sales of almost all passenger cars. And this followed Fiat Chrysler's move to virtually an all-truck, -SUV and -crossover lineup. While the Freep/USA Today investigation found that the simultaneous surge in SUV sales and pedestrian deaths comes down to vehicle size, it also points to a lack of action on the part of the National Highway Traffic Safety Administration (NHTSA), even though it knew of the dangers SUVs pose to pedestrians. Also blamed are automakers dragging their feet on implementing active safety features. Using federal accident data, the Insurance Institute for Highway Safety (IIHS) determined that there was an 81 percent increase in single-vehicle pedestrian fatalities involving SUVs between 2009 and 2016. Freep/USA Today's analysis of the same data by counting vehicles that struck and killed pedestrians instead of the number of people killed showed a 69 percent increase in SUV involvement. As far back as 2001, researchers at Rowan University forecasted a rise in pedestrian deaths as Americans began switching to SUVs. "In the United States, passenger vehicles are shifting from a fleet populated primarily by cars to a fleet dominated by light trucks and vans," the researchers wrote, with light trucks comprising SUVs.

Tesla's gains on the dealership status quo are freaking people out

Tesla took two more steps towards being allowed to sell its vehicles as it chooses (that is, direct to customers) this week. Legislative efforts in New Jersey and New York both gave the California automaker legal permission (or near permission) to operate its stores. It's gotten so bad – or good, depending on your views, that other automakers are starting to speak up. Yesterday, Tesla got official permission to keeps it five stores open in New York thanks to the signature of Governor Andrew Cuomo on a pro-Tesla bill that passed earlier this year. This is not a surprise. The bill also makes it difficult for any other automaker to operate its own stores in the state. Other automakers are now saying that the dealers have too much power. In nearby New Jersey, the state Assembly voted yesterday to allow EVs to be sold directly to the consumer. This vote follow an Assembly committee's vote earlier this month and the bill now moves to the New Jersey Senate and, if it passes, would need to be signed by Governor Chris Christie before becoming law. You may remember there's a bit of bad blood there. This is all quite a turnaround from mid-March, when the state legislature voted against direct sales. If passed, Tesla would be allowed to operate four stores in the state. As you can see, progress is being made. And that's changing the battlefield. The National Automobile Dealers Association (NADA) released a new package of pro-dealership information called "Get the Facts: The Benefits of Franchised Auto Dealers" to take the other side. NADA says that the "current franchised new-car dealer model has benefited consumers, manufacturers and local communities for nearly a century" and then lays out its reasons why. You can watch the NADA's short Get The Facts video below. Perhaps most interestingly, other automakers – through the Auto Alliance – are now saying out loud that the dealers have too much power. In a statement to Automotive News, the Alliance said, " When we look at the big picture, we may be at a tipping point. If dealer groups continue their push for more onerous franchise laws, we will be forced to keep an open mind about how best to serve new-car buyers in the future." That was enough to scare the chairman of the Automotive Trade Association Executives, who told AN that, the Alliance coming out against the franchise system was a "recipe for disaster." This content is hosted by a third party. To view it, please update your privacy preferences.