After more than a year of negotiations, Tesla and the Environmental Protection Agency (EPA) have finally reached a settlement in the case of the former's hazardous waste violations at its factory in Fremont, California. The fully-electric automotive manufacturer had agreed to pay a fine of US$31,000 for its violations and it had also promised to buy around $55,000 worth of new emergency response equipment for the Fremont Fire Department.
According to the EPA, it had originally found Tesla's multiple environmental violations during two random inspections of its facility in 2017. The inspections were conducted by the agency along with the Bay Area Air Quality Management District (BAAQMD) and the California Department of Toxic Substances Control (DTSC).
Inspectors found that Tesla had been accumulating hazardous waste material on its facility without a permit well past the allowed 90 days under state law. These materials included flammable paint and other solvent mixtures, which were reportedly stored without locks or gaskets that preventing fumes from venting out. One inspector even found two 55-gallon containers of hazardous materials that were left open without lids. The company also violated Californian air emission standards for having three leaky transmission lines where different hazardous materials were being transported through.
After the inspection, the agencies filed several violation claims against the company under the federal Resource Conservation and Recovery Act (RCRA). According to the EPA, despite being informed of the violations, Tesla had failed to comply with the RCRA regulations in three particular ways. This included failing to comply with air emission standards in a timely manner, failing to manage its hazardous wastes, and failing to manage its solid waste.
In a letter to the media, Tesla revealed that since it was informed of the violations, it has taken steps to improve its environmental programs and to comply with all environmental regulations. The company also mentioned that it had worked closely with the EPA to reach an amicable settlement.
Tesla has had numerous run-ins with government agencies in the past. In 2010, the company had to pay a $275,000 fine involving its certification for the original Tesla Roadster. In 2013, Tesla settled a $71,000 fine with California's Division of Occupational Safety and Health (Cal-OSHA) after three of its workers were burned by molten aluminum. In a separate case, Cal-OSHA fined Tesla $29,365 for violating safety hazards found in a tent it built outside one of its factories. Just recently, it agreed to pay a $139,500 fine to the BAAQMD for pollution violations in its Fremont factory.