ENERGY EFFICIENCY Energy e!ciency plays an important role in Tesla’s long-term sustainable energy goal, and through active retrofitting of our existing facilities and the construction of new, more e!cient facilities, we are working to reduce our energy use every day. In our Fremont Factory, the installation of LED lighting, as well as e!ciency improvements to manufacturing systems such as compressed air, castings, injection molding, water test booth and cooling towers, combined with a new energy-e!cient paint shop, have resulted in over 10 GWhs of energy savings over the last 5 years. These savings are the equivalent of the annual electricity consumption of almost 1K U.S. households. As a result of many improvements, the energy usage at the Fremont Factory per vehicle manufactured has decreased by 19% compared to 2016. In 2017, we established our energy-use baseline for the Fremont Factory. We have started the process of gathering energy intensity data for all of our main manufacturing locations and plan to add that information to the Impact Report in the future. SUSTAINABLE ENERGY Sustainability is at the heart of everything we do. In the same way our customers are adopting zero-emissions lifestyles by using solar energy systems, battery storage and all-electric vehicles, Tesla is also installing sustainable energy systems at our own facilities to utilize renewable energy generation and storage where possible. As we continue to ramp production of Tesla products, we are committed to making significant progress towards our goal of operating global Tesla manufacturing, vehicle charging and other operations using 100% renewable energy. IMPACT REPORT 17