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German town votes against Tesla’s “Gigafactory” expansion plans

by Celia

Residents of a small German town where Elon Musk’s Tesla factory resides have voiced their dissent by rejecting plans aimed at expanding the facility.

Grünheide in Brandenburg, located about an hour’s drive southeast of Berlin, saw the majority of its residents vote against proposals to enhance infrastructure surrounding the Tesla site, which included plans for a freight depot, warehouses, and a kindergarten for employees’ children. The expansion project, set to increase the factory site by 170 hectares and involve the felling of approximately 100 hectares of pine forest, faced opposition from 76% of the voter turnout, with 3,499 residents voting against the plans and 1,882 in favor.

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Although the referendum holds no legal binding, it is expected to influence local decision-makers and Tesla executives who have been fervently advocating for the expansion of the “gigafactory.”

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Mayor Arne Christiani of Grünheide, along with Tesla officials, expressed intentions to revisit the drawing board in light of the referendum results.

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Originally announced by Musk in November 2019, the Tesla plant in Grünheide commenced vehicle production in March 2022, marking the inception of electric car manufacturing in Europe.

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A primary concern voiced by opponents, led by a local citizens’ initiative, is the substantial groundwater consumption projected for the plant’s operations, estimated at 1.8 million cubic meters annually to produce between 300,000 to 500,000 cars per year. This concern is exacerbated by the persistent drought conditions in the Brandenburg region. Despite Tesla’s assurances of minimizing water usage and implementing rigorous recycling measures, residents fear potential contamination of drinking water sources, particularly as part of the expansion area encroaches upon a water protection zone.

Christiani lamented the referendum outcome, attributing it to negative publicity and emphasized the challenge ahead for the municipality to seek alternative solutions.

Alexander Schirp, managing director of the Berlin-Brandenburg business association (UVB), expressed disappointment, underscoring the economic opportunities brought forth by Tesla’s investment, including environmental considerations.

The gigafactory, serving as Tesla’s inaugural European venture, currently employs approximately 12,500 workers.

In response to the referendum outcome, Tesla characterized its expansion plans as beneficial for the community and pledged to engage in dialogue with stakeholders to determine the next steps. The company highlighted its goal of shifting a significant portion of heavy goods vehicle traffic onto rail systems while streamlining infrastructure expansion to facilitate efficient car deliveries.

Furthermore, Tesla’s production recently faced interruptions due to supply chain delays stemming from attacks by Houthi rebels on commercial shipping in the Red Sea, underscoring the significance of expanding warehouse capacity.

Meanwhile, in Sweden, Tesla workers engaged in a prolonged strike over collective bargaining rights, prompting secondary strikes by various unions in solidarity. These actions have drawn criticism from Musk and led to legal disputes, reflecting broader labor disputes within the company’s operations across Europe.

As Tesla navigates challenges both locally and internationally, its expansion plans in Grünheide remain a focal point of contention, underscoring the complex interplay between economic development, environmental concerns, and labor relations.

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