Tesla (NASDAQ: TSLA) Gigafactory Construction Faster Than Anticipated
The major energy project may come online by next year.
When it was originally announced, Tesla's Gigafactory east of Reno, Nevada was due to start production in 2020. Then, once they began building on the grounds, it was pushed forward to 2017. Now economic officials in Nevada say it could start production as early as next year!
The construction process has opened up more than 740 jobs since its start in 2014, and has already cost Tesla more than $140 million. But the overall project is slated to be $5 billion in the end; construction alone is only about a quarter of the cost.
As we mentioned in a previous blog, the city of Reno won the bidding to be the Gigafactory's land last year with a record $1.3 billion in tax incentives as well as a same-day building permit when Tesla representatives went to tour the area.
For Tesla's part, they are required to hire at least half of their staff from Nevada residents. So far, only 12 such positions have been filled, but more are expected in coming months.
“We're certainly satisfied and frankly excited about the progress that's being made,” says director of the Governor's Office of Economic Development Steve Hill.
Now instead of beginning production in 2020, the Gigafactory is aiming to have a 500,000 vehicle battery per year production rate by then.
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