As a good #ESG company, the Tesla Board of Directors encouraged Musk to lead the charge in transitioning to sustainable energy by setting certain wickets that need to be met before awarding his performance bonuses. /2
One of those wickets relates to Solar Roof production. Spooling up production to 1000 solar roofs per week was one of the first performance bonus wickets the Board set. Tesla finally hit that goal at the end of 2019 in line with Elon's hopes. /3
Another important wicket was continuing to get more electric vehicles on the road. The BOD set 500k/year annual model 3 production as the second wicket in the promotion of sustainable energy. Tesla just hit this wicket at the end of April. /4
Always ensuring they are leading by example, an additional criteria that the BOD set for Elon's bonus scheme was ensuring Gigafactory Nevada is 100% renewable energy. Tesla hit this goal in December of 2019. /5
It's been great that Elon has been able to hit the performance goals the Board has set for him in the first two tranches. Let's take a minute to look ahead at what Elon needs to do to get his third tranche and continue our transition to sustainable energy. /6
To receive the third tranche, the BOD has set a rather ambitious goal and it will be difficult. All Tesla Superchargers need to be powered by Solar. Tesla is making great progress, but isn't quite there yet. /7
I won't bore you with more details about subsequent tranches vesting at this time, but needless to say, it's incredible that the Board of Directors of Tesla and the compensation committee was able to align the CEO incentives with the companies mission. #ESG 8/end
