• 4 minutes Pompeo: Aramco Attacks Are An "Act Of War" By Iran
  • 7 minutes Who Really Benefits From The "Iran Attacked Saudi Arabia" Narrative?
  • 11 minutes Trump Will Win In 2020
  • 15 minutes Experts review Saudi damage photos. Say Said is need to do a lot of explaining.
  • 2 mins Ethanol is the SAVIOR of the Oil Industry, Convenience Store Industry, Automotive Supply Chain Industry and Much More!
  • 4 hours Let's shut down dissent like The Conversation in Australia
  • 12 hours One of the fire satellite pictures showed what look like the fire hit outside the main oil complex. Like it hit storage or pipeline facility. Not big deal.
  • 10 hours Saudi State-of-Art Defense System looking the wrong way. MBS must fire Defense Minister. Oh, MBS is Defense Minister. Forget about it.
  • 19 hours Donald Trump Proposes Harnessing Liberal Tears To Provide Clean Energy
  • 18 hours Saudis Buying Oil From Iraq
  • 12 hours Trump Accidentally Discusses Technology Used In The Border Wall
  • 8 hours Ethanol, the Perfect Home Remedy for A Saudi Oil Fever
  • 10 hours Hong Kong protesters appeal to Trump for support.
  • 3 hours Collateral Damage: Saudi Disruption Leaves Canada's Biggest Refinery Vulnerable
  • 1 day Drone attacks cause fire at two Saudi Aramco facilities, blaze now under control
  • 19 hours Saudis Confirm a Cruise Missile from Iranian Origin
  • 3 hours Iran in the world market
Alt Text

How The Sahara Desert Can Power The Entire World

Theoretically, solar energy generated in…

Alt Text

China Plans To Build Space Solar Station

Chinese scientists have published plans…

Alt Text

Solar Stocks Are Booming This Year

The solar industry is on…

Irina Slav

Irina Slav

Irina is a writer for Oilprice.com with over a decade of experience writing on the oil and gas industry.

More Info

Premium Content

Tesla Closing Down Solar Capacity

Tesla is closing down solar panel sales and installation facilities in nine states, Reuters reports, citing current and former employees of the company’s solar business as well as internal documents.

The documents name 14 solar panel installation locations of what was previously SolarCity across nine states as well as a suspension of a retail partnership with Home Depot. This partnership, Tesla employees told Reuters, brought in half of the solar business’ sales.

This leaves Tesla’s solar operations with 60 sales and installations facilities nationwide. The company has declined to provide details as to the size of the workforce that will become redundant with the closures. Last week, Tesla said it will cut its total staff by 9 percent as it strives for greater cost efficiency.

Regarding the end of the partnership with Home Depot, the move is part of a strategy to make SolarCity’s business an organic part of Tesla, including selling its products via Tesla stores and the company’s website. Reuters, however, quoted an analyst as saying the message that the market received with the shutdowns and the end of the Home Depot partnership was that Tesla had “no strategy for selling solar.” Related: Permian Bottlenecks Begin To Bite

Tesla acquired SolarCity for US$2.6 billion plus the assumption of another US$3 billion in SoalrCity debt in 2016. At the time many questioned the wisdom of such an acquisition given that SolarCity was a cash burner, but since then Tesla has streamlined the company’s operations as it pursued its plan of growing into a one-stop shop for energy solutions, from batteries to solar rooftops.

Right now, Tesla’s number-one priority is to meet the deadline for ramping up the Model 3 production rate to 5,000 cars weekly, which should happen by the end of this month. The company is facing growing investor concerns about its approach to cash and deadlines, so chances are it will really try to meet this deadline, whatever it takes.

By Irina Slav for Oilprice.com

More Top Reads From Oilprice.com:




Download The Free Oilprice App Today

Back to homepage



Leave a comment
  • Null on June 22 2018 said:
    is this a knowingly incorrect headline?

    Tesla is shuttering the now obsolete solar leasing business. It was for a long time the largest installer across the country but times change. It is now far better to own, not lease Solar on your own home. When business conditions change so must a business.
  • RefCor on June 25 2018 said:
    The really sad part of SolarCity is that Tesla Motors shareholders paid $5B plus for a business that never made a profit nor generated cash. Once acquired, SolarCity was able to sell off some of their lease base as CLO's, but how much is not clear.

    In any analysis, Tesla Motors shareholders got hosed for $3-5B.

    And there remains the question of "self dealing" by Musk in order to save his relative, Mr. Rive.

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play