Tesla takes Biden's $7.5B subsidy, agrees to open up charging network, White House says
WASHINGTON - Tesla, for the first time, has made a commitment to open up its electric vehicle (EV) charging stations to non-Tesla vehicles – taking a sweet deal from the Department of Transportation as President Biden's administration ramps up its effort to build a coast-to-coast EV charging network.
The White House on Wednesday announced that Tesla, with the support of $7.5 billion in government subsidies, will open a portion of its U.S. Supercharger and Destination Charger network to non-Tesla EVs. Elon Musk's company, which operates the second-largest charging network in America behind ChargePoint, has agreed to make at least 7,500 chargers available for all EVs by the end of 2024 and to distribute those chargers across the United States.
Tesla will place at least 3,500 new and existing 250 kW Superchargers along highway corridors and Level 2 Destination Charging at locations like hotels and restaurants in urban and rural areas, the White House said.
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EV drivers will be able to access Tesla's charging stations through an app or the company's website.
Tesla has also committed to double its full nationwide network of Superchargers, which are manufactured in Buffalo, New York.
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The agreement comes as President Biden seeks to combat climate change by making electric vehicles more affordable and convenient by building a taxpayer-subsidized national network of 500,000 EV chargers. Companies including Tesla, General Motors, EVgo, Pilot, Hertz, BP and others have signed on to the plan, cumulatively committing to add more than 100,000 public chargers available for all EVs.
Close up of Tesla logo on a charger at a Supercharger rapid battery charging station for the electric vehicle company Tesla Motors, in the Silicon Valley town of Mountain View, California, August 24, 2016. (Photo by Smith Collection/Gado/Getty Images
These new charging stations will meet the Combined Charging System (CCS) standards established by the Transportation Department.
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The CCS provides a standard for electric vehicles from different companies and brands worldwide, including Ford, Hyundai, Honda and General Motors.
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Tesla currently operates a proprietary charging system that keeps its approximately 40,000 charging stations exclusive to the company and its consumers. But Musk has previously expressed openness to unlocking the network for other electric vehicles.
Biden has lofty ambitions for the auto industry, aiming to have half of all new car sales be electric vehicles by 2030. The White House says making EV charging stations easily accessible across America is essential to meet the goal of net-zero carbon emissions by 2050 – and Biden believes his plan will create jobs manufacturing and installing charging stations.
FOX Business' Timothy Nerozzi contributed to this report.