Tesla Motors (NASDAQ:TSLA) stock rises as sales ban on Tesla EV lifted by New JerseyStephanie Stanton (Author) Published Date : Mar 19, 2015 06:41 ET
Tesla Motors today, has reasons to celebrate after experiencing a rocky ride in the Far East. Back home, with New Jersey lifting the ban on EV sales by Tesla, the company is gearing up to cash in on the opportunity. A new legislative bill signed yesterday gives Tesla the green light to put their EVs back on New Jersey market, consequent to the reversal of an earlier decision banning the EVs.
It was around the same time an year ago that New Jersey halted sale of EVs by Tesla consequent to complaints received by the Motor Vehicle Commission in the state. Tesla had adopted a unique business model splitting the industry right in the middle by selling their EVs direct to customers without a dealership in the middle. This had lead to sales ban being imposed by several states on the pretext that long standing rules on auto-sales were contravened. Till yesterday, New Jersey was among the examples.
Gov.Christie stated I said last year that if the Legislature changed the law, I would sign new legislation put on my desk and that is exactly what I m doing today. We re pleased that manufacturers like Tesla will now have the opportunity to establish direct sales operations for consumers in a manner lawfully in New Jersey.
The decision will be effective immediately and allow Tesla to market their vehicles across New Jersey once again. This would also be the first time since April 2014 that the Tesla EVs become available for purchase in the state. During this interval, interested buyers had to go across to New York or Pennsylvania where Tesla was permitted to sell.
Tesla s twitter handle said that this was a huge victory for consumer choice in New Jersey and the law makers in New Jersey were thanked for effecting the change.
Diarmuid O Connell, the VP business development for Tesla also thanked Tesla owners as well as supporters for the ongoing help they provided and added that the company was proud to tell New Jersey that it was no open for business.
Elon Musk, the Tesla CEO also personally reached out on Twitter thanking everyone who supported Tesla in New Jersey and added that this day could not have arrived without their support
Tesla Motors (NASDAQ:TSLA) stock rises as sales ban on Tesla EV lifted by New Jersey