Uncovering the Ethics Behind Elon Musk’s Business Moves

Have you ever think about “is Tesla really sustainable”?

Elon Musk’s ideology and his company Tesla have had a significant influence on the electric vehicle (EV) sector, having the mission to “accelerate the advent of sustainable transport”(McFarland). By focusing on sustainability, Musk has attracted a large customer base that values eco-friendly transportation options.

However, everything has a double-edged sword. Is Tesla that really going to “accelerate the advent of sustainable transport”? To what extent can Tesla achieve that? And are there any negative impacts of Tesla on the environment? If yes, is Tesla more beneficial or harmful?

Indeed, Tesla has made significant strides in achieving its sustainability goals in terms of diminishing carbon emissions and energy consumption. One specific example is the Tesla Model 3, with an energy consummation rate at 131 MPGe, while the Toyota Corolla with an energy consumes rate 34 MPG(2020-Tesla-Impact-Report.Pdf). Therefore, the energy that Tesla Model 3 consumes is 3.9 times less than Toyota’s. Furthermore, with over 500,000 electric vehicles Tesla delivered worldwide in 2020, it is indeed making a significant influence on the world’s sustainable transportation revolution during the use phase according to Tesla (McFarland).

As I mentioned, Tesla may be sustainable during its cars’ usage phase, but whether the company’s supply chain is green remains a question. One concern is the sustainability of Tesla’s batteries. While lithium-ion batteries are essential for electric vehicles, the extraction of raw materials for batteries, such as lithium and cobalt, can lead to habitat destruction and pollution (Crothers). For instance, one of Tesla’s lithium suppliers is Albemarle, a company that uses the solar evaporation method to mine lithium in Chile (Where Does Tesla Get Its Lithium?). According to Albemarle’s official website, “the lithium-containing brine is pumped out of the Salar into evaporation ponds, concentrated, and then purified on its way through the system”(“Albemarle | Lithium Resources”). While the solar evaporation method is a dominant way of mining lithium, it has several significant environmental impacts: 1) huge water consumption, which makes the already water-scarce areas even more strained; and 2) disposal of waste salt and use of chemical reagents poses an environmental challenge(“Lithium Extraction Methods — Lithium Harvest”).

Unfortunately, lithium mining not only deteriorates environmental sustainability but also social sustainability, threatening people’s lives. The effects of mining have permanently disrupted productive activities, such as the farming of shrimp, alfalfa, and livestock in the oasis area of Quillagua, which has resulted in significant population displacement(Liz Harland). Today, fewer than 100 families live in Quillagua, and the water supply is only 90 liters per second (Liz Harland). The town of Quillagua is on the verge of disappearing as a result of the failure of the Chilean authorities to remedy the social, economic, and environmental costs of the impact of mining on the Loa River (Liz Harland).

A world dependent on lithium cars may soon face stricter resource constraints than we face today with respect to oil, considering lithium is also used in construction, portable computers, cameras, cell phones, ceramics, glass, etc. (Liz Harland). What intensifies the issue is there is no substitute for lithium used in advanced automotive batteries and known lithium reserves are concentrated in only a few countries (Liz Harland). The growing demand for lithium has the potential to shift the resource curse experienced by oil-rich countries to lithium-rich countries in South America, such as Chile, Argentina, and Bolivia (Liz Harland).

It is indeed true that effective recycling of certain types of lithium-ion batteries can significantly reduce the amount of virgin lithium needed to manufacture the batteries. According to the 2020 Tesla Impact report, “None of our scrapped lithium-ion batteries go to landfills, and 100% are recycled.” However, is this really the case? We’ll examine Tesla’s battery recycling in the next article. In the meantime, what are your thoughts? Feel free to leave your comments.

Bibliography:

2020-Tesla-Impact-Report.Pdf. https://www.tesla.com/ns_videos/2020-tesla-impact-report.pdf. Accessed 4 May 2024.

“Albemarle | Lithium Resources.” Albemarle, https://www.albemarle.com/offerings/lithium/resources--recycling/lithium-resources. Accessed 4 May 2024.

Crothers, Brooke. “Will Elon Musk’s Politics Impact Tesla Sales?” Forbes, https://www.forbes.com/sites/brookecrothers/2024/01/21/will-elon-musks-politics-impact-tesla-sales/. Accessed 4 May 2024.

“Lithium Extraction Methods — Lithium Harvest.” Lithiumharvest.Com, 22 Mar. 2024, https://lithiumharvest.com/knowledge/lithium-extraction/lithium-extraction-methods/.

Harland Liz. “The Dirty Effects of Clean Energy Technology: Supportive Regulations t” by Liz Harland. https://digital.sandiego.edu/jcel/vol7/iss1/6/. Accessed 4 May 2024.

McFarland, Matt. “Elon Musk’s Politics Trigger Strong Reactions from Tesla Customers | CNN Business.” CNN, 12 July 2022, https://www.cnn.com/2022/07/12/business/tesla-elon-musk-brand-politics/index.html.

Where Does Tesla Get Its Lithium? (Updated 2024) | Nasdaq. https://investingnews.com/where-does-tesla-get-lithium/?utm_source=nasdaq&utm_medium=syndication. Accessed 4 May 2024.