Logo of Phnom Penh Post newspaper Phnom Penh Post - Tesla cuts on road battery cost to $25K model

Tesla cuts on road battery cost to $25K model

Content image - Phnom Penh Post
Tesla Inc CEO Elon Musk. AFP

Tesla cuts on road battery cost to $25K model

Tesla Inc on Tuesday said it is slashing battery costs to speed a global shift to renewable energy, and could have a $25,000 self-driving model available in three years or so.

CEO Elon Musk (pictured) and the head of Tesla’s power team laid out battery design, material and production innovations that combine to cut the cost per kilowatt hour by 56 per cent.

New approaches to making lithium-ion batteries for vehicles are desperately needed given the limited supply and cost, Musk said during a “Battery Day” presentation.

Tesla shares dropped about six per cent in after-market trades as investors learned the road ahead was not short.

Musk had put out word on Twitter that Battery Day announcements would be “insane”, driving high expectations.

During the presentation, Musk and energy engineering senior vice-president Drew Baglino laid out technical details of Tesla’s overhaul of making batteries, from raw materials and design to building finished cells into the very structures of cars.

Innovations, some still in development, were expected to pack more energy into battery cells, cut production costs and dramatically extend battery life.

They expected it to be several years before transformative battery making methods were being used at scale in Tesla factories.

“It was not one big thing, but a lot of little enhancements,” iSeeCars executive analyst Karl Brauer said of Battery Day revelations, explaining that they all add up to batteries that can be made faster and cheaper and provide longer vehicle range.

Innovations include using plentiful silicon in batteries in place of more expensive material and designing battery cells themselves into the very structures of vehicles, he said.

Musk and Baglino were adamant that a shift away from fossil fuels toward sustainable energy is a vital part of tackling climate change.

Baglino said: “It’s really important that we take action . . . We’re going to run out of these fossil fuels, so let’s just move to the future.”

Musk said making lithium-ion batteries cheaper and more abundant is essential to a global shift to renewable power, which is Tesla’s over-arching goal.

He said: “We are going to work our darndest to transition the world to sustainable energy as soon as possible.”

Along with making electric cars, Tesla has a battery division devoted to power cells for its vehicles, as well as storage packs for electricity at homes, businesses or disaster scenes.

Tesla makes batteries at its plants in the US and China, and is building a factory in Germany.

Lithium-ion batteries for Tesla models are made by Panasonic at the electric vehicle company’s “gigafactory” in Nevada.

Musk said in a tweet on Monday that Tesla intends to increase battery purchases from Panasonic Corp, LG Corp and China-based Contemporary Amperex Technology Co Ltd (CATL).

He said: “However, even with our cell suppliers going at maximum speed, we still foresee significant

MOST VIEWED

  • Angkor provides ‘valuable’ water storage

    The Apsara National Authority (ANA) has stored millions of cubic metres of water at reservoirs in the Angkor area after Cambodia experienced a series of rainstorms over the last few days. The storing of the water, besides serving temple conservation, will also be used to

  • Floods prompt evacuations in Kampong Speu

    Rain-induced floods and water flowing from Kampong Speu province have submerged the houses of 1,527 families living close to the Prek Thnot River in Spean Thma, Tien, Kong Noy and Roluos communes in Phnom Penh’s Dangkor district, according to data from local authorities. Spean Thma

  • Would you like fries with that? US burger chain makes Phnom Penh debut

    California-based The Habit Burger Grill restaurant chain is all set to serve up a delicious array of charbroiled burgers and sides at its newest international location in the centre of Phnom Penh. The Habit is “renowned for its award-winning Charburgers grilled over an open flame,

  • Banteay Meanchey floods kill one more as death toll reaches 15

    As floodwaters start to recede in Pursat, Battambang and Pailin provinces and Phnom Penh, Banteay Meanchey continues to bear the brunt as one more person was killed on Monday, bringing the total number of flood-related deaths to 15 in the province this month. Banteay Meanchey provincial

  • Serving coffee with a side of robots

    The eye-catching glass building surrounded by greenery at the intersection of Streets 371 and 2002 in Phnom Penh’s Sen Sok district is more than just another coffee shop where you can while away a few hours. UrHobby House cafe is filled with robots and characters from

  • Cintri strike ends, workers’ contracts to be terminated

    CINTRI (Cambodia) Ltd rubbish collectors who have been on strike for the past 13 days agreed to return to work starting Wednesday evening after the company agreed to terminate their contracts at the end of January next year and provide seniority payments and other benefits to