Tesla's Alleged Violation Of Environmental Laws: CA Settlement Reached
CALIFORNIA — Following an investigation that began nearly six years ago, two dozen California counties sued Tesla Inc. over allegations that the company mishandled hazardous waste, and Thursday the electric vehicle manufacturer was ordered to pay $1.5 million as part of a settlement in the civil case.
In the complaint filed in San Joaquin County, prosecutors accused Tesla of illegally disposing of hazardous waste generated during the servicing and manufacturing of its vehicles, and of violating laws related to waste storage and management.
The alleged mishandling occurred at Tesla service centers, energy centers and at its Fremont factory, according to prosecutors.
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Tesla, a Delaware Corporation, owns and operates approximately 57 car service centers and 18 solar energy facilities in California. It also manufactures vehicles at its Fremont factory.
The investigation into the alleged hazardous waste mishandling was initiated by the San Francisco District Attorney’s Office Environmental Division in 2018. Investigators there conducted undercover inspections of trash containers at Tesla service centers. Illegal disposal was uncovered, including hazardous used lubricating oils, brake cleaners, used lead acid batteries and other batteries, used aerosols, used antifreeze, waste solvents and other cleaners, electronic waste, waste paint, and contaminated debris, according to prosecutors.
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District Attorney investigators from Alameda, Monterey, Orange, Placer, Riverside, San Diego, and San Joaquin counties conducted additional inspections at Tesla car service centers and found similar unlawful disposals, prosecutors allege.
Investigators with the Alameda County District Attorney’s Office also conducted trash inspections at the Fremont factory and found illegal disposal of additional hazardous waste, including weld spatter, which at times contains copper; waste paint mix cups; and used wipes contaminated with primer coat, prosecutors said.
Tesla did not respond to a request for comment, but a news release from the office of Riverside County District Attorney Mike Hestrin said Tesla cooperated with the investigation and took steps to improve its compliance with environmental protection laws. One of the steps taken by Tesla was the quarantining and checking of trash containers at all of its service centers — before the waste makes it into landfills, according to the Riverside DA.
As part of the settlement, Tesla was ordered to pay $1.3 million in civil penalties, and $200,000 in costs of investigation.
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The settlement also requires Tesla to hire a third party to conduct annual waste audits of its trash containers at 10% of its facilities. The annual audits were mandated for five years.
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