London: Elon Musk’s electric car and energy company Tesla has formally applied to UK energy regulator Ofgem for a licence to supply electricity to homes and businesses in England, Scotland, and Wales. If approved, the move could allow Tesla to compete with major UK energy firms and begin operations as early as next year.
While globally recognised as one of the largest electric vehicle (EV) manufacturers, Tesla also operates in the solar energy and battery storage sectors. Tesla has already sold more than 250,000 EVs and tens of thousands of home storage batteries in the UK, potentially giving it a substantial starting customer base for an electricity supply venture.
The licence application, signed late last month by Andrew Payne, head of Tesla’s European energy operations, comes as Tesla Electric expands its international footprint.
Tesla power in Texas
In Texas, Tesla already runs a power supply business that offers EV owners low-cost charging and even pays them for feeding surplus electricity back into the grid. Ofgem’s application process typically takes up to nine months.
This potential UK entry coincides with a significant downturn in Tesla’s European sales. In July, UK registrations of Tesla vehicles fell nearly 60 percent, while Germany saw a drop of more than 55 percent, contributing to an overall 45 percent sales decline across 10 key European markets. Tesla is also facing mounting competition from rival EV manufacturers, particularly the Chinese giant BYD.
Elon Musk’s political profile has also stirred controversy. Once associated with US President Donald Trump, Musk has since had a public falling out with him. His involvement in right-wing political movements in the UK, Germany, and Italy has drawn criticism from some Tesla customers, adding a layer of political tension to Tesla’s public image.
MOST READ | Apollo 13 Commander and NASA legend Jim Lovell dies at 97
