Take T-brand’s SUV as an example. New cars emit around 210 grams of CO2 per kilometer. Under the current EU regulations (95g/km of CO2 emissions for new cars, with a €95 punishment for each gram over the limit), every new car will face a fine of up to €10,925 (115*95 = €10,925). In contrast, every new Tesla vehicle will receive 25 grams of carbon emissions credits, bringing Tesla considerable revenue in the long term.
Do Tesla car owners know that the Tesla company is selling carbon credits on their vehicle? If anything, they should be the ones getting the money, not Tesla. It’s a pretty clever scam when you can sell a thing twice.
This revenue comes at a minimal cost to Tesla, making it a near-pure profit stream. Unlike other automakers that must purchase credits to comply with emissions regulations, Tesla generates them simply by selling zero-emission vehicles.
And do Tesla owners understand that they are not individually reducing their carbon footprint because Tesla is selling that absence of pollution as a license to pollute (carbon credit)?
This resilience is due in part to the slow transition of legacy automakers to electric vehicles. While companies like Ford and General Motors have made strides in EV production, many still rely on Tesla’s credits to meet tightening emissions standards in the U.S., Europe, and China.
In fact, Tesla’s carbon credits are helping automakers meet strict EU emission targets. Companies like Stellantis, Toyota, Ford, Mazda, and Subaru buy Tesla’s credits to offset their emissions and avoid hefty fines.
ICE car makers are buying Tesla carbon credits so that they can pollute.
What you’re detailing here is the definition of “cap and trade”. Its a good approach to affect change, I just don’t like the money earned is going to someone like Musk.
The carbon grifting is a problem.
Do Tesla car owners know that the Tesla company is selling carbon credits on their vehicle? If anything, they should be the ones getting the money, not Tesla. It’s a pretty clever scam when you can sell a thing twice.
Tesla’s Carbon Credit Revenue Soars to $2.76 Billion Amid Profit Drop
And do Tesla owners understand that they are not individually reducing their carbon footprint because Tesla is selling that absence of pollution as a license to pollute (carbon credit)?
ICE car makers are buying Tesla carbon credits so that they can pollute.
What you’re detailing here is the definition of “cap and trade”. Its a good approach to affect change, I just don’t like the money earned is going to someone like Musk.