Tesla found a way to get out of environmental regulations at its Texas gigafactory

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Tesla found a way to get out of environmental regulations at its Texas gigafactory
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Tesla's Texas gigafactory was exempted from Austin's local environmental regulations thanks to a new state law.

Tesla's massive gigafactory outside Austin, Texas will no longer have to follow local environmental regulations, thanks to a recent state law.

Despite not being directly in the city, most of that land was still part of Austin's"extraterritorial jurisdiction" , which allowed the city to regulate developments outside its limits. Several cities in the state have already sued to block the law, including Grand Prairie, which argued in a filing that the law will hurt the city's ability to protect the health, safety, and welfare of those who live in and around its borders.

Tesla's ETJ exemption will enable the electric vehicle company to further develop its land without having to follow the city's environmental restrictions, which an Austin city spokesperson acknowledged could harm locals.

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