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California proposes its own EV buyer credit — which could cut out Elon Musk's Tesla

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California proposes its own EV buyer credit — which could cut out Elon Musk's Tesla


  • Gov. Gavin Newsom plans to revive California’s EV rebate if Trump ends the federal tax credit.
  • But Tesla, the largest maker of EVs, would be excluded under the proposal.
  • Elon Musk criticized Tesla’s potential exclusion from the rebate.

California Gov. Gavin Newsom is preparing to step in if President-elect Donald Trump fulfills his promise to axe the federal electric-vehicle tax credit — but one notable EV maker could be left out.

Newsom said Monday if the $7,500 federal tax credit is eliminated he would restart the state’s zero-emission vehicle rebate program, which was phased out in 2023.

“We will intervene if the Trump Administration eliminates the federal tax credit, doubling down on our commitment to clean air and green jobs in California,” Newsom said in a statement. “We’re not turning back on a clean transportation future — we’re going to make it more affordable for people to drive vehicles that don’t pollute.”

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The rebates for EV buyers would come from the state’s Greenhouse Gas Reduction Fund, which is funded by polluters of greenhouse gases under a cap-and-trade program, according to the governor’s office.

But Tesla’s vehicles could be excluded under the proposal’s market-share limitations, Bloomberg News first reported.

The governor’s office confirmed to Business Insider that the rebate program could include a market-share cap which could in turn exclude Tesla or other EV makers. The office did not share details about what market-share limit could be proposed and also noted the proposal would be subject to negotiations in the state legislature.

A market-share cap would exclude companies whose sales account for a certain amount of total electric vehicle sales. For instance, Tesla accounted for nearly 55% off all new electric vehicles registered in California in the first three quarters of 2024, according to a report from the California New Car Dealers Association. By comparison, the companies with the next highest EV market share in California were Hyundai and BMW with 5.6% and 5% respectively.

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Tesla sales in California, the US’s largest EV market, have recently declined even as overall EV sales in the state have grown. Though the company still accounted for a majority of EV sales in California this year as of September, its market share fell year-over-year from 64% to 55%.

The governor’s office said the market-share cap would be aimed at promoting competition and innovation in the industry.

Elon Musk, who has expressed support for ending the federal tax credit, said in an X post it was “insane” for the California proposal exclude Tesla.

The federal electric vehicle tax credit, which was passed as part of the Biden administration’s Inflation Reduction Act in 2022, provides a $7,500 tax credit to some EV buyers.

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Musk, who is working closely with the incoming Trump administration, has expressed support for ending the tax credit. He’s set to co-lead an advisory commission, the Department of Government Efficiency, which is aimed at slashing federal spending.

The Tesla CEO said on an earnings call in July that ending the federal tax credit might actually benefit the company.

“I think it would be devastating for our competitors and for Tesla slightly,” Musk said. “But long-term probably actually helps Tesla, would be my guess.”

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BI’s Graham Rapier previously reported that ending the tax credit could help Tesla maintain its strong standing in the EV market by slowing its competitors growth.

Prior to the EV rebate proposal, Newsom has already positioned himself as a foil to the incoming Trump administration. Following Trump’s election win the governor called on California lawmakers to convene for a special session to discuss protecting the state from Trump’s second term.

“The freedoms we hold dear in California are under attack — and we won’t sit idle,” Newsom said in a statement at the time.





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California

Is California’s ‘Big One’ coming soon? Maps show growing danger.

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Is California’s ‘Big One’ coming soon? Maps show growing danger.


The most significant seismic event in California’s history – an earthquake of 7.9 magnitude – occurred in 1857 and ruptured about 225 miles on the San Andreas Fault. That earthquake, dubbed the last “Big One,” killed two people and produced shaking that lasted between one and three minutes.

Since then, California has exploded in population and been has been rattled by many major earthquakes. But Californians have also grown familiar with the existential dread of another “Big One” looming.

Researchers have long warned there will be another massive earthquake in Southern California. They just don’t know when.

A recent study says warning signs continue to grow in 2026. The San Andreas and San Jacinto fault systems have reached the highest stress levels seen in the past 1,000 years, according to a study conducted at the University of Hawaiʻi at Mānoa.

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The San Andreas fault runs throughout the state, passing through San Francisco and San Bernardino, while the San Jacinto fault is in Southern California and runs through Riverside, San Diego and Imperial Counties.

Unable to view our graphics? Click here to see them.

Why the San Andreas Fault is so risky

Faults rupture on the San Andreas Fault approximately every 150 years, according to UCLA professor Jonathan Stewart, who studies earthquake engineering.

But it’s been over 300 years since the last “large rupture” occurred south of the 1857 Fort Tejon earthquake, Stewart said. “As far we know it didn’t produce a large rupture since around 1690. To the present that’s a lot more than 150 years, so there’s a lot of build-up. That doesn’t mean it’s going to happen immediately, it just means there is more stress built-up.”

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When the earthquake happens, it is likely to cause a lot of damage. One major concern is the state’s water systems.

“An earthquake like this would rupture most, if not all of the major aqueducts bringing water into Southern California,” Stewart said. “Most people will not be in a collapsed structure after this earthquake, but everybody’s going to be affected by water problems.”

Study highlights longstanding risk

To investigate the probability of an earthquake occurring, researchers built a physics-based simulation and fed it the earthquake history from the region. By doing so, they were able to estimate how much stress has built up along the southern San Andreas and San Jacinto fault systems.

The results suggest that catastrophe may be near.

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“Right now, with stress at historically high levels across the region and more than 160 years elapsed since the last major rupture, the system is in a critically loaded state,” lead author Liliane Burkhard said.

Most importantly, the Cajon Pass, at the junction of the San Andreas and San Jacinto faults, could facilitate a joint rupture of the two faults. This scenario, according to the study, would probably be “significantly more damaging” than a single-fault event.

How is earthquake safety considered?

Seismic hazard assessments are critical for the safety of the millions of residents in California’s densely-populated and earthquake-prone areas.

Seismic Hazard maps show the relative hazard associated with earthquakes using information on past faults, the behavior of seismic waves and the near-surface conditions of specific locations, according to the U.S. Geological Survey.

Larger values indicate a stronger level of earthquake shaking. A peak ground velocity of 269 cm/sec would correspond to extreme shaking and heavy damage. For reference, the largest ground velocity recorded in Taiwan’s 1999 Chi-Chi earthquake reached 318 cm/sec and had a magnitude of 6.7.

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That earthquake killed more than 2,000 people and incurred approximately $14 billion in damage.

How do the fault lines rupture?

The San Andreas and San Jacinto faults are strike-slip faults, which typically cause horizontal displacement. Both faults comprise the geologic boundary between the Pacific Plate and the North American Plate.

If a major earthquake occurs on the San Andreas fault, it is likely to produce surface rupture, which occurs when a fault breaks through to the surface. Most earthquakes, however, do not produce surface rupture, according to USGS.

In a major rupture, strong shaking could cause severe damage near the fault and in areas built on soft or water-saturated soils, which can amplify shaking. Rupture can directly offset roads, buildings, and other structures that span the fault trace.

Although the study helps explain the risk associated with the California fault lines, Burkhard emphasized that it shouldn’t serve as a forecast.

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“This is not a prediction of when an earthquake will happen,” Burkhard said. “However, studies like this are important contributions to national and global earthquake hazard research in that we are using rigorous, quantitative science to better understand the risk facing millions of people.”

Contributing: Brandi D. Addison, USA TODAY NETWORK



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California lawmakers seek $32M to combat invasive pest found on grapevines sold at Costco

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California lawmakers seek M to combat invasive pest found on grapevines sold at Costco


California lawmakers are now asking the federal government for more than $32 million in emergency funding to stop the spread of an invasive insect that was recently discovered on grapevines sold at Costco stores across the state.

The request comes about a month after Fresno County agricultural officials discovered grapevine plants infested with the glassy-winged sharpshooter, a pest capable of spreading Pierce’s Disease, a deadly infection that can kill grapevines.

In a letter sent to U.S. Agriculture Secretary Brooke Rollins, Sens. Adam Schiff and Alex Padilla joined Reps. Mike Thompson, David Valadao and other members of California’s congressional delegation in requesting $32.2 million in emergency funding to contain and eradicate the pest.

[RELATED] Fresno County grapevine plants shipped to Costco were infested with bugs

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Lawmakers say the infected nursery stock was identified Mat 19 by the California Department of Food and Agriculture and the Fresno County Agricultural Commissioner’s Office.

The plants had been distributed to Costco stores in more than two dozen California counties before being sold to customers.

Officials believe some of the infested plants have since been transported to homes in at least 38 counties across the state.

The movement of infested nursery stock into and near key grape-producing regions, including areas critical to California’s winegrape and fresh table grape production, significantly elevates the urgency of this response.

The glassy-winged sharpshooter feeds on grapevines and spreads Pierce’s Disease, an incurable bacterial infection that can destroy vineyards by preventing vines from transporting water.

Lawmakers warned that the pest poses a serious threat to California’s wine and table grape industries.

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According to the Wine Institute, California’s wine industry supports 1.1 million jobs nationwide and generates an economic impact of more than $170 billion.

California also produces 99% of the nation’s table grapes, with an annual crop value estimated at $2.59 billion.

If the pest spreads unchecked, the California Department of Food and Agriculture estimates losses associated with Pierce’s Disease and the glassy-winged sharpshooter could exceed $104 million annually.

The requested funding would support emergency response efforts, including tracing the movement of infested plants, surveying affected areas and expanding trapping programs.

Additional funding would also be used for long-term monitoring and eradication efforts over the next several years.

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The lawmakers are asking the U.S. Department of Agriculture to immediately release the funding through the Commodity Credit Corporation, arguing that the outbreak meets the federal definition of an agricultural emergency.

Growers have already contributed more than $62 million toward research and mitigation efforts over the past 25 years through industry assessments, according to the letter.

Federal officials have not yet announced whether the funding request will be approved.



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California Now Offers Free Passes to State Historic Parks (Just Don’t Miss the Deadline) | KQED

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California Now Offers Free Passes to State Historic Parks (Just Don’t Miss the Deadline) | KQED


An annual pass that’s usually $50 is free in honor of Juneteenth — and to mark the 250th anniversary of the signing of the Declaration of Independence.

Historical buildings are visible at Sonoma State Historic Park, Sonoma, California, May 31, 2026. Until July 6, Californians can download the state historic park pass for free and use it as many times as they want through the end of 2026. (Smith Collection/Gado via Getty Images)

“California doesn’t hide from hard truths and uncomfortable history – in fact, we embrace it and learn from it,” Newsom wrote.

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Until July 6, Californians can download the state historic park pass for free and use it as many times as they want through the end of 2026. The pass gives free entry to state historic parks for up to four people.

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The Historian Passport grants entry to more than 30 state historic parks, including parks like Olompali and Malakoff Diggins which, rather than just providing outdoor recreation, also have an educational emphasis on the state’s history.

Jack London State Historic Park in Napa Valley, California. (Ablokhin via Getty Images)

Many of these parks tell the story of the state’s cultural or indigenous history, from missions and museums to temples and the site that sparked the California Gold Rush.

Newsom made a similar move to make state parks free for Martin Luther King Jr. Day this year, in response to Trump’s decision to eliminate the holiday from the list of fee-free days at national parks across the country, replacing it with his birthday on Flag Day.

How to get your free Historian Passport for up to four people

You must make an account with the state’s reservation site ReserveCalifornia.com to obtain a Historian Pass. Then, visit the site’s Advance Passes page and select “Special Edition Historian Passport” from the dropdown menu, which will show as costing $0. No payment information is required.

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After checking out, you’ll receive an email with an attached PDF version of your Historian Passport.

The state recommends you print off this PDF to present at any California state historic park for free entry, although you may just be able to show the image on your phone too.

Bear in mind that cellphone service may be poor at many state historic parks, so it’s worth screenshotting the PDF to save it as an image on your phone in case you’re unable to search your email.

Looking for free entry to other state parks that aren’t included in the Historian Passport? Consider checking out a parks pass from your local library, which provides these passes as part of the California State Library Parks Pass program.

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Northern California State Historic Parks to visit for free this year with a Historian Passport

Bay Area

Sacramento area

Sierra foothills

KQED’s Carly Severn contributed to this report.





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