2022 Tesla Model S on 2040-cars

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Tesla's ZEV credit allotment changing under new CARB rules

Could the California Air Resources Board (CARB) be taking a $55-million bite out of Tesla Motors' profits? The state regulator, which grants zero-emission vehicle (ZEV) credits for automakers making plug-in vehicles, is planning to reduce the number of credits generated by each Model S battery-electric sedan from seven to four, Bloomberg News reports. That means the California-based automaker will have fewer credits to sell to big buyers such as General Motors and Chrysler, who don't make enough ZEVs on their own to comply with state mandates. While the selling price for these credits isn't disclosed (they're private transactions), the market was a lucrative one for Tesla, which generated $129.8 million in revenue from California zero-emissions credit sales and about another $65 million selling US Corporate Average Fuel Economy (CAFE) credits last year. All told, California and federal zero-emissions credit sales accounted for about 10 percent of Tesla's sales last year. A Tesla representative didn't immediately respond to a request from AutoblogGreen for comment. This issue first came up last year when CARB hinted that it wouldn't give Tesla credit for having a battery-swapping option as it's method for quick-fueling compliance. Tesla, which appears to have been preparing for just this scenario, has been collecting revenue on credits since 2010 and achieved its first-ever profitable quarter in the first quarter of 2013 because of such credits. While the maximum number of zero-emissions credits a vehicle could garner was increased from seven to nine in the new rules, Tesla can't take advantage of that because it meets neither of the most stringent criteria: that the car in question is rated to go more than 300 miles on a full tank or battery and be able to be "filled up" (or fully charged, in this case) within 15 minutes. Those are more hydrogen fuel-cell-like targets, but Tesla has the EVs that come closest to meeting them.

Toyota's Lentz says fuel cells are the future, not EVs

Toyota is not bullish on EVs. That comes from the company's North American CEO, Jim Lentz, who said the company will focus not on electrification, but on continued hybridization with a long-term focus on hydrogen fuel cells.
Lentz questioned the long-range ability of EVs, saying that Toyota feels "there are better alternatives, such as hybrids and plug-in hybrids, and tomorrow with fuel cells." Lentz spoke about Toyota's focus on hydrogen following Forbes Brainstorm Green conference and barely a week after a battery deal between Tesla and Toyota ended, according to Automotive News.
That deal provided for 2,500 battery packs for the Rav4 EV. While valuable to Toyota, the deal "was never about open-ended volume," Lentz said. "It was time to either continue or stop. My personal feeling was that I would rather invest my dollars in fuel cell development than in another 2,500 EVs."

Tesla having trouble selling all over Australia, too

Australia and Texas have more in common than those super macho hats. Indeed, when it comes to Tesla Motors' attempts to sell its all-electric Model S to the public, the country Down Under and the Lone Star state continue to insist on the old-school approach to car sales. Which has never sat well with California-based Tesla. Tesla, which started sales in Australia early last month, is encountering opposition from the Australian state of Victoria. The issue, as with much of the US, is Victoria's adherence to the traditional auto distribution network where automakers sell only through third-party dealerships. That means folks visiting Tesla's showroom in the Victorian city of Chadstone not only can't buy a sedan there, but they can't even discuss pricing, says Bidness Etc. Regulators in New Jersey, Michigan and, yes, Texas have taken a similarly hard line approach to Tesla and its wishes to own its distribution network outright. All is not lost, however, as Tesla's Sydney dealership is fully operational. The automaker is looking to connect Canberra, Melbourne and Sydney via a Supercharger fast-charging network similar to the one strung across parts of North America and Europe. The Model S in Australia starts at around $82,000 US. Those curious can check out Tesla's Australia page here. Featured Gallery Tesla Model S View 24 Photos News Source: Bidness Etc. Green Tesla Electric victoria