August 22, 2008

Tesla considers San Jose for its electric car factory

By Bill Highlander
Editor

San Jose could get a big boost in its effort to be a major center of “green” jobs if Tesla builds its plant in the capitol of Silicon Valley. Tesla is planning a factory for its battery-powered electric sedan in the Bay Area since offered incentives to stay in the state.

The Tesla Roadster electric car is the flagship automobile from Tesla Motors. The Tesla sedan may be built in San Jose.

Tesla’s electric sports car has already created a buzz with a hefty price tag and a waiting list. A more moderately-priced sedan is expected to appeal to a larger market.

The decision on the competition for locale is anticipated to be made soon and Mayor Chuck Reed is pushing hard for San Jose. The city’s Green Vision Goals and other environmental policies encourage new businesses to consider San Jose. A number of solar-related companies have set up operations here.

San Jose is offering several possible sites for the factory. Paul Krutko, chief development officer for San Jose, says Tesla wants 40 acres with an option to expand to 100 acres. The sedan plant would employ 400 workers.

The 2008 Tesla Roadster is sold out and 900 reservations are in for the 2009 model that retails for more than $100,000. The Roadster can go from 0 to 60 in 3.9 seconds. Tesla headquarters are in San Carlos, CA.