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Summary:

Tesla CEO Elon Musk pledges to pay back the company’s loan to the Department of Energy in five years instead of ten. Musk says if the DOE should be criticized for failures like Solyndra it should be praised for successes like Tesla.

Tesla's line of Model S cars

The CEO of electric car maker Tesla, Elon Musk, said Tuesday that Tesla plans to cut in half the time it will take to pay back its loan to the Department of Energy. Musk made the remarks at the Department of Energy’s ARPA-E Summit in a discussion with DOE Secretary Steven Chu.

Musk said Tesla has ten years to pay back the $465 million loan, which it won back in the summer of 2009, and Tesla plans to reduce that time in half and get it repaid in under five years. Tesla already started paying back its loan, and made its first payment of $12.7 million to the DOE in the fourth quarter of 2012. It plans to make its second payment by March 2013.

Tesla Model S

During the discussion at ARPA-E, Musk said that if the DOE got so much attention for failures like Solyndra, it should get praise for its successes like Tesla.

Tesla has successfully been transforming from a small-scale electric car maker, into a company that’s producing its second electric car the Model S at a scale of 20,000 cars per year at a factory in Fremont, Calif. During the company’s earnings call last week, Tesla said it would turn its first profit ever (on a non-GAAP basis) in the first quarter of 2013. Musk said he was confident that Tesla could also be profitable for other quarters this year, too.

  1. That that Gas Gusslers!

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  2. Take that Kochs and the New York Times. For the sake of smart government, democracy and free enterprise I hope the knowledge of your lack of integrity becomes as common as the personal automobile.

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  3. Yup loan paid for by the negatively subsidized nuclear industry with over $80B in funds deposited at DOE for never never waste, decom and insurances scams. DOE spends the money on the renewable industry with no questions asked loans.

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