Musk Shutting Down Government Loan Office That Gave Him the Money to Grow Tesla
a year ago
- #Elon Musk
- #Clean Energy
- #Government Loans
- Elon Musk's Tesla received a $465 million loan from the Department of Energy's Loan Programs Office (LPO) in 2010 to establish its Fremont factory and develop the Model S.
- Musk's administration is now cutting the LPO, which has been crucial for high-risk energy projects, including Tesla's early growth.
- Over 60% of the LPO staff has been cut, leading to project cancellations and uncertainty in the clean energy sector.
- Companies like Kore Power, Freyr Battery, and Aspen Aerogels have halted plans due to frozen loans, impacting domestic manufacturing.
- The LPO has been instrumental in supporting American EV startups and clean energy projects, making its dismantling a significant setback for the industry.