Well, that was quick.
The settlement came just two days after prosecutors from 25 California counties filed a lawsuit against Tesla over allegations the automaker repeatedly handled hazardous waste at its facilities across the state.
Tesla agreed to pay $1.3 million in civil penalties and $200,000 to reimburse the costs of the investigation, according to a press release from the San Francisco District Attorney’s Office. Tesla is also under a five-year detailed mandate that requires training employees and hiring a third party to conduct annual waste inspections of waste containers at 10 percent of its facilities. Those inspections will take place annually for five years, and inspectors will examine waste containers for hazardous waste, according to the joint statement sent Thursday afternoon.
Tesla will pay for these inspections as a future expense, according to the San Francisco District Attorney’s office (SFDA).
Tesla has 57 car service centers and 18 solar facilities throughout California. It also builds electric vehicles at its Fremont plant in Alameda County.
The SFDA office explained the quick resolution by noting that the parties had reached an agreement before the complaint was filed. “The complaint and anticipated judgment were filed simultaneously on Tuesday reflecting this agreement. However, the judge has not approved the settlement until today,” an SFDA spokesperson wrote in an emailed statement.
“While electric vehicles may benefit the environment, the manufacture and maintenance of these vehicles still creates many harmful waste streams,” San Francisco District Attorney Brooke Jenkins said in a statement. “Today’s settlement against Tesla Inc. serves to provide a cleaner environment for citizens across the state by preventing the contamination of our precious natural resources when hazardous waste is mismanaged and illegally disposed of. We are proud to work with our California environmental law enforcement attorneys to ensure that this hazardous waste is properly handled.”
The complaint, filed Jan. 30 in San Joaquin County Superior Court, said Tesla improperly labeled and disposed of materials such as “lead and other batteries,” paint, brake fluid, aerosols, antifreeze, acetone, diesel fuel and more during the production and its services. facilities across the state. Tesla also allegedly improperly disposed of waste, both on-site and in landfills that cannot accept hazardous waste, according to the lawsuits.
While the lawsuit was filed just a day ago, the environmental investigation has been a six-year effort.
The San Francisco District Attorney’s Environmental Division launched an investigation in 2018 when SFDA investigators conducted undercover inspections of Tesla’s waste containers at its auto service centers, according to prosecutors. The checks revealed the illegal dumping of many used hazardous car parts such as lubricants, brake cleaners and antifreeze.
The discovery led to additional inspections of Tesla car service centers and eventually the waste receptacles at the automaker’s Fremont plant, where additional hazardous waste was found to be illegally disposed of, including automotive panel welding spatter waste (which may contain copper), paint waste, mix cups produced during paint repair and wipes/debris contaminated with primer.
Tesla did cooperate with the investigation and took steps to improve its compliance, the SFDA office said in a joint press release. Settlement talks had begun before the lawsuit.