Tesla Removed from New Jersey Turnpike; Elon Musk: "Appears to be Corruption"
In a move that has sparked outrage among electric vehicle (EV) drivers, the New Jersey Turnpike Authority (NJTA) has ordered Tesla to decommission 64 Supercharger stalls along the state's busiest highway. The decision, which has been widely criticised as a poor move by industry experts and observers, was made due to the NJTA's exclusive partnership with Applegreen Electric for EV charging infrastructure along the turnpike.
The NJTA's decision to prioritise Applegreen over Tesla's Superchargers came about when the authority chose to renew an exclusive deal in 2023, favouring the third-party provider. This decision meant that Tesla's previous contract, which expired in 2020, was not renewed, forcing Tesla to remove its Superchargers from the turnpike.
Tesla had proposed above-market commercial terms and offered to install its next-generation charging hardware, but the NJTA refused these offers. In addition, Tesla had offered to fully upgrade Turnpike locations with screens, faster hardware, and broader compatibility with the national charging standard. The company also proposed the installation of its next-generation "Magic Dock" hardware that allows both Tesla and non-Tesla vehicles to charge.
However, the NJTA's decision may raise questions about transparency in public contracting. CEO Elon Musk has commented on the decision, stating that it sounds like corruption. The NJTA has not publicly disclosed the reasons for its decision.
The shutdown of Tesla's Superchargers at service plazas throughout the route forces the closure of facilities that currently boast a 99.9% uptime and less than 1% congestion. Tesla drivers will now have to rely on off-ramp Superchargers instead of service plaza access.
Tesla's decision to remove critical charging infrastructure is a setback for New Jersey's EV adoption goals, according to Tesla. The company is open to investing in Turnpike locations if NJTA or Governor Phil Murphy reverse their decision. The NJTA's decision runs counter to New Jersey's own climate goals, which call for 100% zero-emission new car sales by 2035.
Despite these proposals, the NJTA has shut the door on the EV leader. The removal of access to the most reliable, least congested, and most cost-effective charging in the state is a significant blow to Tesla and its customers. However, Tesla has responded by opening 116 Supercharger stalls off Turnpike exits as a response to the potential roadblock.
References:
[1] Teslarati. (2023, May 30). Tesla Charging reveals NJTA awarded exclusive contract to single unnamed charging provider, refusing to allow Tesla to continue operating or co-locate on the Turnpike. Retrieved from https://www.teslarati.com/tesla-charging-njta-exclusive-contract/
[2] Electrek. (2023, June 1). Tesla's Superchargers removed from New Jersey Turnpike due to NJTA's exclusive deal with Applegreen. Retrieved from https://electrek.co/2023/06/01/teslas-superchargers-removed-from-new-jersey-turnpike-due-to-njtas-exclusive-deal-with-applegreen/
[3] Green Car Reports. (2023, June 2). Tesla's Superchargers on New Jersey Turnpike are closing, and it's causing a stir. Retrieved from https://www.greencarreports.com/news/1142173_teslas-superchargers-on-new-jersey-turnpike-are-closing-and-its-causing-a-stir
[4] The Verge. (2023, June 3). Tesla's Superchargers on New Jersey Turnpike are closing due to an exclusive contract. Retrieved from https://www.theverge.com/2023/6/3/23738563/tesla-superchargers-new-jersey-turnpike-closing-exclusive-contract
[5] CNBC. (2023, June 4). Tesla's Superchargers on New Jersey Turnpike to close as NJTA awards exclusive contract to third-party provider. Retrieved from https://www.cnbc.com/2023/06/04/teslas-superchargers-on-new-jersey-turnpike-to-close-as-njta-awards-exclusive-contract-to-third-party-provider.html
- The New Jersey Turnpike Authority (NJTA) has terminated Tesla's Supercharger stations along the state's busiest highway, a move that has triggered criticism from industry experts and observers.
- This decision was based on NJTA's exclusive partnership with Applegreen Electric for EV charging infrastructure, which led to the non-renewal of Tesla's contract that expired in 2020.
- Tesla had offered above-market commercial terms, next-generation charging hardware, upgrades for Turnpike locations, and compatibility with the national charging standard, but these proposals were rejected by the NJTA.
- The shutdown of Tesla's Superchargers at service plazas throughout the route could hinder New Jersey's electric vehicle (EV) adoption goals, according to Tesla, and may raise questions about transparency in public contracting.
- The closure has forced Tesla drivers to rely on off-ramp Superchargers instead of service plaza access, and Tesla itself has responded by opening 116 Supercharger stalls off Turnpike exits as a response to the potential roadblock.
- The NJTA's decision seems contrary to New Jersey's own climate goals, which aim for 100% zero-emission new car sales by 2035, and Tesla is open to investing in Turnpike locations if the NJTA or Governor Phil Murphy reverse their decision.