June 9, 2014—Two California Senators are attempting to convince Tesla Motors Inc. to choose the state as the location for its planned “Gigafactory,” or battery plants.
Senate President Pro Tem Darrell Steinberg (D-Sacramento) and Ted Gaines (R-Rocklin) are both sponsoring a bill, SB 1309, which would offer financial benefits and faster regulatory approvals to the automaker, according to NASDAQ.
When Tesla originally announced its plan to build the $5 billion factory in February, it identified four states as possible sites, but California was not on the list, according to the Los Angeles Times. Since then, California has made its way to Tesla’s attention.
The new Tesla battery factory would bring around 6,500 new jobs to the state it chooses, according to NASDAQ.
But California isn’t the only one that would benefit from a local Gigafactory. Tesla’s assembly plant is currently in Fremont, Calif., so choosing a localized battery manufacturing plant could drastically reduce transportation costs, NASDAQ reported.
Tesla plans to break ground on one of three planned battery plants as early as this month, the Albuquerque Journal reported. Construction on the second plant could begin a month or two later.