Credit: Tesla
Fort Bend County, Texas, has approved a package of tax breaks and economic development agreements for Tesla’s proposed US$10.1 billion solar factory near Needville. County commissioners passed all four Tesla agreements on Thursday afternoon, each by a 4-0 vote with one abstention, according to video of the Commissioners Court meeting.
The project, known as “Project Crystal Sun,” would make solar cells and finished solar modules on a site of roughly 3,000 acres near FM 762 and FM 1994, south of the Brazos River. Tesla’s filing with the Texas Comptroller projects 9,712 permanent jobs by 2033, with production starting in early 2029 if Fort Bend wins out. That would add to the company’s push for U.S.-made solar panels.
Thursday’s votes covered a property tax abatement inside Reinvestment Zone No. 34, a Chapter 381 economic development agreement, a foreign trade zone non-objection with payments in lieu of certain taxes, and a separate “true up” payment in lieu of taxes agreement. According to the county agenda, payments under the last two would go into the county’s general fund, with a share of the trade zone payments going to the Fort Bend County Drainage District.
None of this means Tesla has picked the site yet. The company told the Comptroller’s office it is still weighing locations in several states, and the deal still needs sign-off from the Comptroller and the Governor’s office before any incentives kick in.
Thursday’s approval is the latest in a string of local steps. Commissioners created the reinvestment zone in a special meeting on August 24, and Lamar Consolidated ISD trustees unanimously backed a 10-year school property tax limitation for Tesla in September. Tesla’s case for the plant was presented publicly to the county for the first time on October 8, when a consultant told commissioners the project is a manufacturing facility, not a data center.
A plant this size would be a big jump from Tesla’s current solar manufacturing, which centers on its factory in Buffalo, New York. Earlier this year, Tesla started expanding U.S. solar production in New York, and SpaceX has also filed permits for a giant solar factory near Austin.
Do you think Tesla ends up building Project Crystal Sun in Fort Bend County?
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