What’s stopping Tesla from making a solar farm gigafactory?

[heltok]

I was thinking about the geopolitics of Russia vs Ukraine. Imo it would make sense for the west to stop shutting down nuclear, build more nuclear and build more solar. The second seems unpopular, so guess that’s not an option. So how about the third? Could Tesla build a solar farm gigafactory? Ship complete farms with generation and megapacks to Arizona, Marocko, Australia etc? Plug and play into the powergrids.

I assume there is some good technical, logistical or economical explanation for why this is not happening yet. There should be a demand for it, it’s in line with Tesla’s mission and Tesla has enough cash for it. So why is this not happening?

 

[Tam]

...nuclear...

Elon Musk has been pro-nuclear but I think that is irresponsible because there's no solution for nuclear waste.

...Could Tesla build a solar farm...

It has been successful in some solar farm projects like on an island so those could be scaled up.

...why is this not happening?

There are competing interests from nuclear industries to petroleum industry to utility industry...

Puerto Rico is a good example that solar would be the solution but money is still pouring into petroleum generators because that is how some people can make money and they don't want solar people to compete with them.

 

[jrweiss98020]

Elon Musk has been pro-nuclear but I think that is irresponsible because there's no solution for nuclear waste.

Yes, there IS a solution. Yucca Mountain in Nevada has been developed as a permanent, long-term storage facility for high-level waste. It was ready for operation when Barrack Obama ordered it shut down as a political favor to Harry Reid. IMO, THAT was the most irresponsible act in the nuclear power industry in US history. Because of this decision, spent fuel remains on site at every nuclear reactor in the US, in spent-fuel pools NEVER designed for long-term storage. Any one of them could result in a disaster JUST like Fukushima...

The responsible action would be to reverse Obama's decision and bring Yucca Mountain into commission.

Further, other nuclear reactor technologies exist besides the current light-water-cooled designs. High-Temperature Gas-Cooled Reactors using the Thorium cycle are more efficient, safer, and produce less waste. Two were in the planning stage in AZ when the Three Mile Island event occurred, putting the entire industry on hold.

 

[nwdiver]

I was thinking about the geopolitics of Russia vs Ukraine. Imo it would make sense for the west to stop shutting down nuclear, build more nuclear and build more solar. The second seems unpopular, so guess that’s not an option. So how about the third? Could Tesla build a solar farm gigafactory? Ship complete farms with generation and megapacks to Arizona, Marocko, Australia etc? Plug and play into the powergrids.

I assume there is some good technical, logistical or economical explanation for why this is not happening yet. There should be a demand for it, it’s in line with Tesla’s mission and Tesla has enough cash for it. So why is this not happening?

Nuclear won't happen because it's ~5x the cost of other options. Why pay $150/MWh for new nuclear when you can get solar or wind for ~$30/MWh? It gets even worse for nuclear as wind and solar eat into demand. Nuclear BY FAR the worst option for meeting demand when there isn't sufficient wind or sun.

Tesla has a 'solar' GigaFactory. It's GigaFactory 2 in NY. It's just ~impossible to compete with the cell cost coming from China. I toured a solar panel plant in Texas. ~Half the building was a cell fab they no longer use because it was cheaper to just import cells from China and manufacture only the panels. Economics matters. That's why nuclear has failed and most solar comes from China. Economics matters.

 

[heltok]

Nuclear won't happen because it's ~5x the cost of other options. Why pay $150/MWh for new nuclear when you can get solar or wind for ~$30/MWh? It gets even worse for nuclear as wind and solar eat into demand. Nuclear BY FAR the worst option for meeting demand when there isn't sufficient wind or sun.

Tesla has a 'solar' GigaFactory. It's GigaFactory 2 in NY. It's just ~impossible to compete with the cell cost coming from China. I toured a solar panel plant in Texas. ~Half the building was a cell fab they no longer use because it was cheaper to just import cells from China and manufacture only the panels. Economics matters. That's why nuclear has failed and most solar comes from China. Economics matters.

So build the Solar Farm Gigafactory in China?

 

[nwdiver]

So build the Solar Farm Gigafactory in China?

Already there and growing as fast as possible. ~500GW of capacity predicted by the end of this year. So basically ~500 solar 'Gigafactories' expected by the end of 2022...

 

[aubreymcfato]

Nuclear won't happen because it's ~5x the cost of other options. Why pay $150/MWh for new nuclear when you can get solar or wind for ~$30/MWh? It gets even worse for nuclear as wind and solar eat into demand. Nuclear BY FAR the worst option for meeting demand when there isn't sufficient wind or sun.

Tesla has a 'solar' GigaFactory. It's GigaFactory 2 in NY. It's just ~impossible to compete with the cell cost coming from China. I toured a solar panel plant in Texas. ~Half the building was a cell fab they no longer use because it was cheaper to just import cells from China and manufacture only the panels. Economics matters. That's why nuclear has failed and most solar comes from China. Economics matters.

Interesting.
On the other hand, I also saw this: Evidence grows that global solar supply chains are diversifying

 

[Ampster]

Tesla has enough cash for it. So why is this not happening?

I believe that the cash you are referring to is already committed to other Capital Expenses like Gigas Berlin, Austin and Shanghai. The challenge in any growth company is allocation resources to achieve the greatest long term return on investment. I am sure the Board and Elon have looked at a multitude of scenerios and various ways to invest capital.

 

[nwdiver]

Interesting.
On the other hand, I also saw this: Evidence grows that global solar supply chains are diversifying

I hope so. Lots of reason to be wary of most solar cells coming from China. But this won't happen on it's own. Domestic production needs help. Subsidies would be better than tariffs.

LG to shut down solar panel production as costs pile up​

 

[CSFTN]

I hope so. Lots of reason to be wary of most solar cells coming from China. But this won't happen on it's own. Domestic production needs help. Subsidies would be better than tariffs.

LG to shut down solar panel production as costs pile up​

Lots of respect, but why are subsidies better than tariffs?

 

[nwdiver]

Lots of respect, but why are subsidies better than tariffs?

.... because subsidies lower the price while tariffs raise them. Tariffs are taxes.