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CARB scrapping plan for $60,000 limit on EV rebates

In April, we heard about a discussion within the California Air Resources Board (CARB) that would have put a $60,000 MSRP limit on plug-in vehicles that would qualify for CARB's $2,500 rebates. A new report in Silicon Beat says that CARB is once again ready to give EV money to everyone, no matter what expensive car they buy. There's no question that the CARB proposal would have had an inordinate effect on Tesla Motors, the only company selling a EV expensive enough to cost more than $60,000, the Tesla Model S. Okay, the Cadillac ELR plug-in hybrid would also have been affected, but that only would have applied to a small handful of people. According to Silicon Beat, the updated CARB proposal says clearly that, "at this time staff is not proposing any significant changes to the Clean Vehicle Rebate Project as part of this year's Initial Funding Plan." CARB spokesman David Clegern told Silicon Beat that, "It's fair to say [the $60,000 limit] been removed. I never say anything is dead until after the vote, but I'm not aware of any plans to revisit it." In other words, Tesla, you're good to go. We've asked CARB for confirmation of this, but have not yet heard back.

FTC officials question 'bad policy' that stops Tesla's direct sales

It looks like Elon Musk has a new group of allies over at the Federal Trade Commission. Writing on the FTC blog, three high-level FTC officials came out against the "protectionist" network of laws in the US that govern automotive dealers and prevent, in some cases, Tesla Motors from selling its cars directly to customers. They called the rules, "bad policy for a number of reasons." They write: [The legal] protections expanded until in many states they included outright bans on the sale of new cars by anyone other than a dealer-specifically, an auto manufacturer. Instead of "protecting," these state laws became "protectionist," perpetuating one way of selling cars-the independent car dealer. The post is not a call to arms, but more of a position statement co-authored by Andy Gavil (director of the Office of Policy Planning), Debbie Feinstein (director of the Bureau of Competition), and Marty Gaynor (director of the Bureau of Economics). "The collective [cost] impact of [the state-by-state battles] is one of the major concerns here. [Tesla is] just trying to sell their cars" – Andy Gavin Gavil told AutoblogGreen that the main goal was to bring attention to the issue, which the post has certainly done. There are so many of state fights going on, he said, that this was a way to reach a lot of people at once. "We've been watching this for months," he said. "It's very clearly a state-by-state battle. We are concerned about Tesla litigating state-by-state. The collective [cost] impact of that is one of the major concerns here. They're just trying to sell their cars. The way the industry is reacting shows that it's about more than that." Gavil wouldn't go so far as to say that there should be new national rules – it's up to Congress to do that, he said - but he has also been looking at the taxi industry and the upstarts like Lyft and Uber. The competition angle sometimes doesn't get the attention it deserves, he said. "If there's a more open debate about it, that can only be a good thing." One of the groups opposed to Tesla's direct sales is the National Automobile Dealers Association (NADA), which represents 16,000 new car and truck dealerships with about 32,000 domestic and international franchises.

Tesla adds free titanium underbody shields to Model S to prevent fires

Following a garage fire incident with a Model S EV last year, Tesla Motors quickly sent out an over-the-air software update to adjust how the car charges. Following two on-road fires caused by road debris that struck the underside of different Model S EVs (one in Washington State and the other in Tennessee), Tesla basically said, that it was a random thing, and the car is perfectly safe. The company later sent out a software update to have the car ride a bit higher at highway speeds. Today, Tesla is offering a more substantial solution. Tesla CEO Elon Musk has announced that all Model S EVs built since March 6 have a stronger triple underbody shield that should "bring this [fire] risk down to virtually zero." The company conducted 152 tests using, "every worst case debris impact we can think of, including hardened steel structures set in the ideal position for a piking event, essentially equivalent to driving a car at highway speed into a steel spear braced on the tarmac" and is now confident that there's basically nothing that can break through the new barriers. As you can see here, the shields prevent a concrete block, a three ball tow hitch and a steel alternator from puncturing the car's underside. The new shields should "bring this [fire] risk down to virtually zero." Any Model S owner who wants the new triple shield can ask for it, and even if they don't ask, the structure will be installed whenever the car is next in for service. The three layers of the shield include a rounded, hollow aluminum bar, a titanium plate and "a shallow angle, solid aluminum extrusion." The new shields, "only have a 0.1 percent impact on range and don't affect ride or handling," Musk writes, which means there's no reason for Model S owners not to get the upgrade. You can read all of Musk's explanation below. Tesla Adds Titanium Underbody Shield and Aluminum Deflector Plates to Model S By Elon Musk, Chairman, Product Architect & CEO In 2013, two extremely unusual Model S collisions resulted in underbody damage that led to car fires. These incidents, unfortunately, received more national headlines than the other 200,000 gasoline car fires that happened last year in North America alone. In both cases, the occupants walked away unharmed, thanks to the car's safety features. The onboard computer warned the occupants to exit the vehicles, which they did well before any fire was noticeable.