Photo: @tobilindh/Twitter
Tesla's battery factory at Giga Berlin will receive co-funding from Brandenburg and the federal government, who have agreed to sign an administrative agreement.
The federal government and Brandenburg are seeking to properly arrange to fund Tesla's battery factory, which will be located at Giga Berlin. On September 7, Brandenburg Economy Minister Jörg Steinbach told the Cabinet that an administrative agreement is planned with the federal government on the terms of co-financing the research and production of Tesla battery cells. He did not talk about the amount of funding from both sides. It is reported that the budget committee of the Brandenburg State Parliament will consider this issue on September 9.
According to recently released information, Tesla may receive funding of about €1.14 billion from the second European battery cell program Important Projects of Common European Interest (IPCEI). The Federal Economy Ministry said there was still no final amount to fund the American manufacturer's battery factory.
“One of the largest and most modern battery production and recycling factory in the world will be built in Grünheide,” Steinbach said, reported dpa-AFX. "With the planned factory, the value chain at this location for the production of electric vehicles will be expanded with a central component and additional jobs will be created." Tesla's battery factory is expected to create about 2,000 jobs, which could determine the final funding amount. In addition, the Federal Ministry of Economics expects the American company to invest around €5 billion in the battery factory.
At first, Giga Berlin will produce 50-gigawatt hours of battery cells annually. When the factory is completed, it will be the largest battery manufacturing plant in Europe. However, this is only an initial plan, and in the future, Tesla CEO Elon Musk hopes to produce around 250 gigawatt-hours per year. “I can even imagine expanding to 200 to 250 GWh,” he said. "I'm pretty sure that that would make it the largest battery factory in the world."
© 2021, Eva Fox | Tesmanian. All rights reserved.
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About the Author
Eva Fox
Eva Fox joined Tesmanian in 2019 to cover breaking news as an automotive journalist. The main topics that she covers are clean energy and electric vehicles. As a journalist, Eva is specialized in Tesla and topics related to the work and development of the company.
