American electric vehicle maker Rivian is now set to pursue the development of its proposed production plant in Georgia after the Supreme Court rejected an appeal from the opposition. For context, the appeal contests the bond agreements of the project with the Joint Development Authority (JDA) of Jasper, Morgan, Newton, and Walton counties and the state.
The Supreme Court’s rule is indeed a significant advancement for Rivian, as the company has long announced the project. It initially proposed the 2,000-acre Georgia factory in December 2021.
About the project and its setbacks
Rivian aims to hit an annual production capacity of up to 400,000 electric vehicles once the facility fully operates, indicating a substantial increase from its Illinois factory’s rate of 150,000 units/year.
In addition, the automaker stated before that the new Georgia production plant would handle the production of its next-generation EV models.
Rivian initially expected to begin the plant’s construction last summer and production by 2024. However, it has yet to launch a formal groundbreaking ceremony at the Georgia plant.
Notably, seven Morgan County Land, Sky & Water Preservation members’ opposing actions impeded the project’s development. They doubted elements of the state’s approximately $700 million grant in local property tax incentives to Rivian.
In addition, five local residents also filed a lawsuit against the JDA and the firm it employed to begin grading in October 2022.
Fortunately, Rivian managed to overcome these major setbacks. More importantly, the automaker can now access hundreds of millions of dollars in tax savings from the government.
In effect, the project will generate 7,500 direct jobs in the area and direct jobs from suppliers.
“To date, every decisive legal challenge has ruled in the State and JDA’s favor, reinforcing what we have known since December 2021 – Rivian is a generational opportunity for Georgians.
Rivian’s potential goes well beyond directly creating well-paying jobs of the future. A project of this scale attracts suppliers and builds a thriving community that can support more local businesses. The benefits will be felt across the e-mobility ecosystem and the dozens of other industries its supply chain touches. With today’s news, we are looking forward to working with Rivian, our sister agencies, and local communities to capitalize on Georgia’s momentum at the forefront of the e-mobility revolution.”
Pat Wilson, Georgia Department of Economic Development Commissioner
See Also:
- Georgia aids $1.5 billion to EV Maker Rivian in building a new facility
- Rivian shares drop as revenue and production forecasts are missed
- Rivian reorganizes operations staff, hires new COO
- Rivian has an increased number of reservations despite its price hike
- Rivian confirms EV production target despite supply chain issues
Rivian started the development of the Georgia plant last year without holding a formal groundbreaking ceremony. Finally, the plant is now set to begin producing Rivian’s next-gen EV models, including the R2 series, by 2026.
