Tesla and Government Reach a New Agreement on Giga Berlin

Tesla Giga Berlin is allowed to continue building at the factory in Grünheide as Tesla and Brandenburg reached a new agreement.

Tesla can continue building on the construction site of its planned factory in Grünheide near Berlin. Brandenburg had agreed with the US electric car maker on a longer period until January 15 to pay the missing security deposit, the Brandenburg Ministry of the Environment announced on Wednesday. It's about 100 million euros that Tesla has to deposit for possible dismantling costs of Giga Berlin in case the final approval doesn't come for some reason.

The company also promised safeguards for all early permits for construction work in a comfort clause, reports RBB. By January 15, it should now be clarified in what form the security deposits will be provided by Tesla. At the same time, the State Environment Agency approved the company on Wednesday to continue the construction of Giga Berlin on working days in 24-hour operation for certain work on the construction site, a spokeswoman for the Brandenburg Environment Ministry confirmed to RBB.

Final Giga Berlin Permit Is Still Missing

At the beginning of December, the State Environment Agency approved the construction of Giga Berlin's paint shop and the clearing of the forest for a new battery plant as so-called "early measures." This means that Tesla must reverse both of these works if the final approval for the entire project is not granted. To secure this dismantling, the office demanded 100 million euros as a pledge.

Tesla had not provided the security deposit by December 17 after an early approval for forest clearing and the installation of machines. Then the work was suspended, the country initially only extended the deadline to January 4th.

Criticism of Tesla Giga Berlin From Environmentalists

Environmentalists have criticized the decision of the State Environment Agency. The federal chairman of the Ecological Democratic Party (ÖDP), Christian Rechholz accused the State Environment Agency of cheating on Wednesday evening. "At the last minute" and when "everyone's mentally" is already on Christmas vacation, the authorities have given Tesla permission to continue building. Rechholz criticized that construction will continue and that will create further facts. He called the actions of the State Environment Agency "a huge mess".

Armen Hareyan is the founder and the Editor in Chief of Torque News. He founded TorqueNews.com in 2010, which since then has been publishing expert news and analysis about the automotive industry. He can be reached at Torque News Twitter, Facebok, Linkedin and Youtube.

Image by Tobias Lindh.