• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
One Step Off The Grid

One Step Off The Grid

Solar, storage and distributed energy news

  • Solar
  • Battery/Storage
  • Off-Grid
  • Efficiency
  • Software
  • Podcasts
  • Tariffs
  • Electric Vehicles
  • Electrification

Tesla to build community microgrid in clever twist on pollution penalty

May 13, 2021 by Elisa Wood Leave a Comment

Microgrid Knowledge

Tesla has agreed to pay a $1 million penalty and build a community microgrid in a settlement reached last week with a California air quality board.

The settlement covers 33 air quality notices issued by the San Francisco Bay Area Air Quality Management District for activity at Tesla’s Fremont manufacturing facility, where it builds electric vehicles.

The unusual penalty — requiring the company to build a microgrid along with paying a more conventional fine — represents the air district’s efforts to maintain “strict compliance with air pollution regulations while seeking mutually beneficial solutions for the community,” according to Jack Broadbent, air district executive officer.

“As part of this settlement, Tesla has agreed to implement a community microgrid project, which leverages the company’s technological expertise in developing next generation power here in the Bay Area,” he said.

The microgrid will be built in a yet-to-be specified community that is heavily impacted by air pollution, as designated under the air district’s Community Health Protection Program.

The community microgrid will be designed to reduce electricity costs, reduce local air pollution and provide electricity during power outages, which have become more frequent in California because of wildfires. Utilities in the state engage in what’s known as public safety power shutoffs, a practice of turning electricity off to customers if they believe risk exists that power lines will spark wildfires.

The microgrid will use 160 kW of solar, paired with battery energy storage.

The settlement agreement also requires that Tesla install a comprehensive environmental management system, which will track environmental requirements and ensure that the company’s managers are trained on what is needed to comply with them.

Tesla was cited for a range of violations, including emissions exceeding its permit limits, installing or modifying equipment without proper permits, failure to conduct required emissions testing, failure to maintain records and failure to report information to the air district in a timely manner.

This article was originally published on Microgrid Knowledge. Reproduced here with permission.

Filed Under: Off-Grid, Battery/Storage, Electric Vehicles, Solar

Primary Sidebar

Sign up for our weekly newsletter

Emissions Counter

Renew Economy

RSS Energy News from Renew Economy

  • Advocates unhappy as government seeks oversight of home solar, battery and EVs, rather than regulator
  • Regulator wins fraud conviction against solar installer as Bowen bats off battery rebate rorting claims
  • Labor dials back gas reservation scheme, denies the move is a policy back-down
  • Spanish giant withdraws 2,000 MWh battery project after being “called in” by LNP planning minister
  • Data centres told to pack their bags for the regions after house full sign goes up in Sydney

RSS Electric Vehicle News from The Driven

  • Surge in electric car sales puts added strain on Australia’s stretched EV charging network
  • Logistics giant backs plans for state’s first electric freight network, possibly with Chinese trucks and battery swaps
  • Polestar Australia confirms it has cut prices for 2027 Polestar 4 coupé, to match new electric SUV
  • Dealerships, mechanics and repair shops offered rebates for EV chargers and electric vehicle tools
  • Ford prices new fully electric van at $50,000 driveaway – and an overwhelming total cost advantage over ICE

Press Releases

  • Huge luxury Saudi resort goes 100pct renewables with one of world’s biggest batteries
  • How solar + storage can be a game-changer for people with disabilities

Footer

Technologies

  • Solar
  • Battery/Storage
  • Electric Vehicles
  • Energy Efficiency
  • Software/Gadgets
  • Other Renewables
  • Policy
  • Tariffs
  • Contact
  • Advertise with us
  • About One Step Off The Grid
  • Terms of Use
  • Privacy Policy

Copyright © 2026 · OneStep Genesis on Genesis Framework · WordPress · Log in