Call to power up with ‘gigafactory’
AGIANT ‘gigafactory’ like Tesla’s 1.9m sq ft Nevada plant should be built in the West Midlands, according to mayor Andy Street.
It would be used to produce batteries to power the next generation of electric vehicles.
The key to safeguarding thousands of automotive jobs in the West Midlands is to ensure it leads the way in producing electric and self-driving cars, says the mayor.
He spoke after the Government revealed a £500 million loan guarantee to Jaguar Land Rover (JLR), which announced it is to upgrade its plant in Castle Bromwich, Birmingham, allowing it to build an all-electric version of the Jaguar XJ sedan, followed by a range of electric models in the future.
That announcement followed lobbying by Mr Street, who has been in talks with Business Secretary Greg Clark.
The mayor said: “JLR made a firm commitment to the UK by announcing it will build the new all-electric XJ at its Castle Bromwich plant, laying the foundations for the next generation of electric cars.
“Now the Government has been
able to give further support to JLR’s ambitions by putting this offer on the table, which is brilliant news.”
And he urged the Government to help the region host a so-called gigafactory, which would be used to produce the batteries electric cars need. These are a major component of any electric vehicle and can make up 40 per cent of the cost.
Jaguar Land Rover has a battery assembly plant at Hams Hall, between Coventry and Birmingham, but has to import battery cells from overseas.
The phrase ‘gigafactory’ refers to a giant factory currently under construction by electric car manufacturer Tesla near Reno, Nevada. The word is usually attributed to Tesla chief executive Elon Musk.
It will eventually create batteries from scratch, starting with raw materials and ending with the finished product.
It is an extremely complex process, and while it is more economical to do the whole thing in one place, it also requires a number of different processes, which is why the site needs to be so large. The factory will also recycle old batteries.
The factory covers 43 acres and because it has multiple storeys, the floorspace inside the building is 5.3 million square feet, or 121 acres.
Tesla has announced plans to open a gigafactory in Europe but has not decided on a location.
Mr Street is calling on the Government to help ensure a gigafactory opens in the West Midlands.
But he did not state any preference for which business should open the facility.
He said: “The West Midlands needs a world-class ‘gigafactory’ capable of producing the batteries required to power our next generation vehicles. Battery manufacture is vital to the success of electric transport, as 40 per cent of a vehicle’s value lies in this crucial component.
“Batteries also form the heaviest part of the vehicle, meaning their production needs to be near the car’s assembly lines. Not surprisingly, battery development is where real innovation is being driven, and where our universities give us a real advantage.”
“Government has already played an important role in helping make the West Midlands competitive in this race, investing £108 million in a state-of-the-art Battery Industrialisation Centre in Coventry, and creating the Centre for Connected and Autonomous Vehicles.
“Now Government incentives could attract a global firm to create this much-needed gigafactory.”