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Electric Vehicles

Tesla Is Reportedly Making Big Layoffs This Week

On Musk’s workforce cuts, Appliance Week, and flooding in Russia

Tesla Is Reportedly Making Big Layoffs This Week
Heatmap Illustration/Getty Images

Current conditions: Temperatures in Sapporo, Japan, surpassed 77 degrees Fahrenheit today, earlier than ever before • Gale-force winds are blasting Britain • The weather is looking great for the Boston Marathon.

THE TOP FIVE

1. Tesla reportedly lays off 10% of global workforce

Tesla has reportedly laid off “more than 10%” of its global workforce, according to Jameson Dow at Electrek. In an internal company-wide email, CEO Elon Musk said “this will enable us to be lean, innovative and hungry for the next growth phase cycle.” The exact headcount isn’t clear but Dow calculates a 10% cut would bring the number of workers newly out of a job to about 14,000. The news wasn’t unexpected – employees had been whispering about potential layoffs for a few weeks, and their angst was fueled by the announcement last Thursday that Cybertruck production shifts at Tesla’s Gigafactory in Texas would be shortened, starting today. Dow notes the layoffs will hurt morale, “which is a shame, because we do need Tesla to keep pushing things forward, and to keep attracting the best and brightest.”

2. House Republicans pivot from appliances to Iran crisis

House Republicans canceled a plan to put forward six new bills related to household appliances and energy standards this week and will focus instead on responding to rising tensions between Iran and Israel. The bills were going to be a “coordinated legislative offensive on the Department of Energy’s efficiency standards,” reported E&E News. It’s not clear if or when the bills will be heard.

X/jamiedupree

3. Biden administration increases fees for oil and gas drilling on public lands

In case you missed it: The Biden administration late last week moved to hike fees for drilling for oil and gas on public lands. The New York Times explained it nicely: “The nation’s largest property owner, the federal government, effectively charges rent to oil and gas companies that exploit public land for private profit.” Now it is hiking its rates. The new rules, which could take effect in 60 days, raise royalty rates, lease rents, minimum auction bids, as well as “bonding rates,” which are upfront payments “to cover the cost of plugging abandoned oil and gas wells,” Reuters reported. The new minimum lease bonds will be $150,000 per lease, up from $10,000. Royalty rates will rise from 12.5% to 16.67%. The government estimates the rules would increase costs for fossil fuel companies by about $1.5 billion through 2031. Some of the money will go toward cleaning up old abandoned oil and gas wells.

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  • 4. Intense flooding prompts more evacuations in Russia, Kazakhstan

    Flooding continues along the Russia-Kazakhstan border, where huge amounts of snowmelt from the Ural Mountains, coupled with heavy rain, overwhelmed the Ob-Irtysh river system, the world’s seventh largest. The Tobol River, which is usually frozen this time of year, rose by 9 inches in just four hours this morning. More than 125,000 people have been evacuated since the flooding began earlier this month. Flooding is common for the region in the spring, but this year has been particularly bad. Experts say the soil was already saturated before winter, and higher-than usual snowfall followed by a burst of warm weather made for ideal flood conditions. Maria Shahgedanova, a professor of climatic science at Reading University, said extreme flooding is likely to become more common because climate change is causing heavier snowfall in the area. “We’re looking at a 7% increase in (snow) precipitation where there is one degree temperature change,” she said.

    5. New pilot project to test highway that charges EVs on the go

    Indiana has broken ground on a pilot project that will allow electric vehicles to charge wirelessly as they drive down the highway. The technology was developed by Purdue University and is being put to the test on a quarter-mile stretch of U.S. Highway 52 in West Lafayette, Indiana, Inside Climate News reported. It will charge cars as they travel up to speeds of 65 miles per hour. “If you have a cellphone and you place it on a charger, there is what’s called magnetic fields that are coming up from the charger into that phone,” said Steve Pekarek, a professor of electrical and computer engineering at Purdue. “We’re doing something similar.” Cars would have to be equipped with special receivers to be compatible with the wireless charging, so even when the system is up and running next summer it won’t yet benefit existing EV drivers. “This is a simple solution,” Pekarek said. “There are complicated parts of it, and that we leave to the vehicle manufacturers.” The state’s Department of Transportation hopes the project will help in the quest to ease range anxiety for would-be EV buyers, and electrify long-haul trucking.

    THE KICKER

    Researchers say they’ve found a way to make the common pain-reliever acetaminophen (aka Tylenol) from compounds found in wood, instead of from chemicals derived from crude oil.


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    Politics

    How a Rhode Island Mayoral Race Became a Referendum on Climate Policy

    In Providence, at least, climate change is still on the ballot.

    Providence mayoral candidates.
    Heatmap Illustration/Getty Images, Library of Congress

    Here’s some trivia for you: What was the first state to see its average temperature break the 2-degree Celsius threshold for warming above pre-industrial levels? It wasn’t Alaska, the fastest-warming state, nor was it California or Florida, states with some of the most visible impacts of the extreme weather crisis. It was not Arizona or Texas, either, though “hot” and “warming” are often conflated.

    The answer, in fact, is humble Rhode Island, which passed the international benchmark for accelerated climatic impacts back in 2019. It is perhaps less surprising, then, to learn that in the Ocean State’s largest city, Providence, climate change and how to adapt to it have become one of the central talking points in a heated mayoral race, which in the deep-blue city is likely to culminate in the September 9 primary.

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    Q&A

    How an ‘Abundance’ Policy Shop Is Approaching Data Centers

    Chatting about win-win solutions with the Abundance Institute’s Ryan Norris.

    Ryan Norris.
    Heatmap Illustration

    This week’s conversation is with Ryan Norris, senior fellow for energy policy at the Abundance Institute. The libertarian-leaning institute — whose name cleverly shortens to AI — is a new-ish entity with increasing relevance in energy and tech spaces. As Norris and I discussed, it’s starting to help shape policy on data center development and the generation that’ll power it all, especially in Republican circles. Norris himself previously worked with Americans for Prosperity, a right-wing political organization. I reached out to him and asked if we could chat because I wanted to know more about the institute’s work within the energy space. He wound up saying a lot more than I expected. So let’s dive into it.

    The following conversation was lightly edited and abridged for clarity.

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    Hotspots

    Wisconsin’s Anti-Data Center Voters Never Showed Up

    Plus more of the week’s biggest development fights.

    The United States.
    Heatmap Illustration/Getty Images

    1. Shelby County, Alabama — The Trump administration’s widening effort to intervene in rural energy project fights is facing an early test: What happens if companies don’t take it seriously?

    • This week country music star John Rich, Trump’s “special envoy for American landowners,” explained to an Alabama radio station that one of his first public efforts to support a landowner with administration support ran aground. Rich said he reached out to Alabama Power in the hopes they it could move a planned transmission line cutting across the property of a trucking company owner seeking to retire in the woods. But Rich said Alabama Power has so far shrugged off both him and the Agriculture Department, refusing to allow any company representatives to speak with them.
    • “They farmed my conversation out to a third party attorney. Outside counsel. Not even someone with Alabama Power,” Rich told radio host Leland White. After an hour and a half with the attorney led to “no answers,” the musician said, he sent questions in writing with USDA assistance, which he claimed were met with “legal mumbo jumbo.” “It’s like a slap in the face. I still haven’t spoken to anyone at Alabama Power about this.”
    • Rich told the radio host he may raise the landowner’s issues directly with President Trump. Alabama Power did not respond to a request for comment from me. The utility so far has declined to address specifics with local media, citing ongoing litigation over the conflict.
    • If I had to hazard a guess, I’d say this is a turning point for the Trump administration’s efforts to expand its energy culture war saber-rattling tactics beyond renewable energy permitting. So much of the transmission process, for example, happens outside of any federal purview. Should Rich actually try to raise this issue with the president, what could Trump do besides a Truth Social post? If that’s where this heads, then I think we’re seeing this effort hit a wall, at least for now.

    2. Ozaukee County, Wisconsin — Speaking of walls, we just saw the political power of the data center resistance hit one in the Badger State.

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