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Tesla Applied German Government Aid For Battery Production & Research

by Eva Fox January 27, 2020

Tesla Applied German Government Aid For Battery Production & Research

According to a media report, Tesla is applying for participation in a European project proposed by German Minister of Economics and Energy Peter Altmaier, with the working title “EuBatIn” (European Battery Innovation), to develop and research batteries.

Altmaier said: "I am pleased that we have launched the second battery cell project within a very short time and are now able to present it to the European Commission today. This is a great success for Germany as "a business location and for all European companies involved in this process. Together, we want to build innovations and value creation networks to establish a functioning ecosystem for battery cell production from the processing of raw materials and the manufacturing of battery cells through to recycling."

The Federal Ministry of Economics and Energy is currently working with German industry on two major projects for the development and production of battery cells. These projects are implemented as the so-called “Important Projects of Common European Interest” (IPCEI), and include projects from several European Member States. These projects will also be implemented in Germany, and regions affected by structural changes will also benefit from financing.

“We want competitive, innovative and environmentally friendly rechargeable batteries to be made in Europe,” said Altmaier, in an interview with Handelsblatt. “To do this, we combine the innovative capabilities and potential of our companies,” he said.

For Europe, battery production is a strategic imperative for the transition to clean energy and the competitiveness of its automotive sector. The goal of the project is to counter Asian excellence in research and production of battery cells and provide European companies with great support.

The Ministry of Economy announced that it will support battery research worth up to one billion euros. Tesla joins the list of applicants. In December 2019, the EU Commission approved a similar project, which was attended by companies such as BASF, BMW and the French automobile group PSA.

Tesla Model S battery (Tesla)

Further details of Tesla's statement may already be clear in the coming days, as the Federal Ministry of Economics wants to complete the second major project on Monday and Tuesday of this week. To this end, Altmayer invited representatives of 14 EU member states from France, Sweden, Germany, Italy and Poland to a seminar in Berlin to expedite the project.

Subsidy programs don't exclude the participation of non-European companies. “In the event of participation, non-European companies must also integrate into the IPCEI and work together with other companies and institutions,” says the Federal Ministry of Economics.

It should be noted that Tesla has long been ahead of all automakers in the development of batteries. The American automaker is investing heavily in the research and development of the most important component of an electric car, and any of Tesla's cars is a great example of this. So far, no company has been able to create a battery that would allow their cars to drive the claimed number of miles, except Tesla.

That is why participation of the American automaker in this union will be of great importance for all project participants.

Follow me on Twitter Eva Fox 🦊




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