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Michigan Gov. Rick Snyder hasn't yet signed anti-Tesla legislation

The nation's auto dealers are taking their fight against Tesla and its direct method of selling cars to consumers to the symbolic heart of the auto industry. In Michigan, a bill that would entrench the existing dealer networks and prohibit direct car sales to buyers has passed both the state's house and senate, and awaits Gov. Rick Snyder's signature. A spokesperson for Snyder says a determination on whether he'll sign the legislation has not yet been made. "Right now, the staff is doing its due diligence and studying the bill," spokesperson Dave Murray said. Snyder has until Tuesday to act on the bill. Fighting this sort of legislation is nothing new for Tesla, which has already lost such legislative fights against auto dealers in Texas, New Jersey, Maryland and other states. "We're fighting these actions as they come up," said James Chen, vice president for regulatory affairs and associate general counsel at Tesla. While Snyder's staff said the governor has not yet made up his mind, executives from Detroit's Big Three automakers and state car dealers are some of the top individual donors to his ongoing campaign to retain the governorship. Campaign records show Martha Ford has given $10,200 to the Snyder campaign, while her brother, William Clay Ford Jr., has donated $3,400. Edsel B. Ford II has also given $3,400 to Snyder, who is in a tight race against Democratic challenger Mark Schauer. Michigan car dealer magnate Paul Alandt has donated $6,800 to the Snyder campaign. His wife, Lynn Ford Alandt, daughter of Benson Ford, has donated $6,200 so far in this election cycle. Other car dealers that have given to Snyder include: Richard Garber Jr., president of Garber Chevrolet in Saginaw, Michigan; Howard Cooper, past owner of Howard Cooper Honda in Ann Arbor; Joseph Sesi, president of Sesi Motors in Ann Arbor; Michael Savoie of Savoie Chevrolet in Troy, Michigan; John Kudner of Art Moehn Chevrolet and David Fisher of The Suburban Collection, which touts itself as Michigan's largest car dealer. All have given between $2,000 and $4,000, according to election records collected by the National Institute on Money in State Politics, a nonpartisan archive of contributions to political campaigns.

Budget watchdog warns Tesla Gigafactory fight could be 'race to the bottom'

How desperate are the states in the US Southwest for a Tesla Gigafactory? Maybe a little too desperate, according to the California Budget Project. CBP says that the five states that are vying for the new big battery plant from Tesla and Panasonic are really in a "a race to the bottom from which no real winner may emerge." The CBP issued an open letter to leaders in those states that called for "greater openness in the process, strong accountability measures, and cooperation – not competition – among the states." Basically, what CBP is saying is that Tesla is trying to get too good a deal from whichever of the five states (Texas, Nevada, New Mexico, California or Arizona) will be picked for the Gigafactory to be built (well, the first one, at least). We have known for a long time that these states are fighting amongst themselves, and the CBP says that even though the Gigafactory is "undoubtedly a valuable source of economic growth for its eventual home state," since the public bidding process starts at $500 million in subsidies, the five states 'have more to gain from cooperation than from competition." After all, Tesla has made it clear that it needs the Gigafacatory to make its cheaper EV a reality, so CBP is suggesting that the states communicate with each other so that no one offers too many tax breaks in the "harmful pattern of one state 'winning' a high-profile competition." The $500 million could be better spent on other things, CBP argues, and wonders if Tesla would be "receptive to a multi-state dialogue." Your Houston News notes that Tesla is asking the states "not to discuss their offers, and states aren't talking." Tesla did not have anything more to add to AutoblogGreen, but the company has said that an official announcement on the location of the first Gigafactory is coming toward the end of this year. For now, you can read CBP's open letter in full below. An Open Letter to Five States' Officials About Tesla Motors The announcement earlier this year by Tesla Motors that it planned to establish a major electric-car battery factory in one of five western states has set off a bidding war among officials in these states. Yesterday, CBP Executive Director Chris Hoene joined with leaders at Good Jobs First and peer organizations in the other states to direct an open letter to state officials calling for greater openness in the process, strong accountability measures, and cooperation - not competition - among the states.

Sun and wind could power Tesla Gigafactory for EV batteries in Nevada

Next week is Tesla Gigafactory week. The California automaker has a major announcement planned, and it's all about its intention to build a battery factory so large, the company is pulling out the giga prefix. At some point in the next seven days, we expect to hear where Tesla will build the plant, who it will partner with, how it will pay for it and lots of other details. The production volume is expected to be at least 30 gigawatt-hours-worth per year. The Gigafactory will take in the raw materials for lithium batteries and put out finished packs, not only for the electric vehicles made by Tesla and its automotive customers, but also for massive amounts of renewable energy storage – that's a niche the company plans to begin to occupy sometime early next year with residential-sized products. The production volume is expected to be at least 30 gigawatt-hours-worth per year. That's more storage than all the lithium battery factories in the world combined produce now. Color us impressed. Now, you might be thinking, "Is it really necessary to go that big at this point in time?" In a word: yes. Tesla CEO Elon Musk has said its upcoming, more-affordable vehicle – widely expected to be called the Model E – will wear a $35,000 price tag and boast a battery big enough to take it 200 miles on a charge. To achieve this, the cost of the cells needs to come down dramatically, and so it's no coincidence that the time frame for the new facility will parallel that of this car. According to Musk, the benefits from the economies of scale will see a cost drop between 30 and 40 percent. Of course, historically high prices are one of the main reasons why battery storage has not been widely used in the renewable energy sector, so this development could help drive more demand for cleaner, affordable energy, which, in turn, will drive demand for more storage. That's the kind of vicious cycle we like to see. Musk said the Gigafactory will be "heavily powered" by wind and solar energy. Speaking of renewables, that is where the Gigafactory will get much of its needed energy. During the call with financial analysts that accompanied the release of its 2013 fourth quarter earnings report, Musk mentioned that the new plant will be "heavily powered" by wind and solar energy, and will also use older Tesla packs for storage. These will help deflect the traditional arguments against wind and solar, that the sun doesn't shine at night and the wind doesn't always blow.