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21 August 2025

Tesla Faces Backlash As Sizewell C Advances

Public opposition to Tesla’s UK electricity plans intensifies amid controversy over Elon Musk, while the Sizewell C nuclear project touts financial and national benefits as Britain seeks reliable clean energy.

The United Kingdom stands at a crossroads in its energy future, with two high-profile proposals drawing public attention and stirring debate: Tesla’s bid to supply electricity to British homes and the ongoing development of the Sizewell C nuclear power station. Both projects promise to bolster the UK’s transition to cleaner, more resilient energy systems, but each faces unique challenges—one political and social, the other financial and infrastructural.

In July 2025, Tesla, the world-renowned electric vehicle and energy technology company, submitted an application to Ofgem, the UK’s government energy regulator, seeking a license to supply electricity directly to British households. This move, while not entirely unexpected given Tesla’s global ambitions in the energy sector, has provoked an outpouring of public opposition—over 8,462 comments as of August 20, 2025, according to Electrek. The campaign against Tesla’s application, orchestrated by the advocacy group Best for Britain, hinges not on the technical merits of Tesla’s energy products, but rather on the controversial public persona and political activities of its CEO, Elon Musk.

Tesla’s energy portfolio is robust. Since acquiring SolarCity in 2016, Tesla has sold solar panels and Powerwall home battery systems, allowing homeowners to store solar or grid energy and even sell it back during peak demand. Even more transformative is Tesla’s Virtual Power Plant (VPP) technology, which networks thousands of Powerwalls to collectively stabilize the grid, reduce outages, and help integrate intermittent renewables like wind and solar. Tesla already operates VPPs in Texas and California, and the UK, having just shuttered its last coal plant in 2024 and sourced more than half its electricity from renewables last year, seems an ideal candidate for such innovation. The nation is targeting an ambitious 81% emissions reduction by 2035, making grid flexibility and stability ever more critical.

Yet, despite the potential benefits, the specter of Elon Musk looms large. Best for Britain’s campaign enabled residents to send letters to Ofgem, arguing that Musk’s recent political actions and his stewardship of Twitter (now X)—which he acquired for $44 billion—demonstrate a disregard for public welfare. The group’s template letter accuses Musk of prioritizing self-enrichment and pushing a personal agenda, citing his support for extremist political figures, the proliferation of hate speech and misinformation on Twitter since his takeover, and his controversial public statements. The letter concludes that such behavior represents “dangerous incompetence or wilful neglect,” qualities deemed incompatible with stewardship of the UK’s energy markets.

This isn’t the first time Musk’s personal brand has collided with Tesla’s business interests. In May, a Tesla project in Australia faced overwhelming local opposition, with roughly 95% of public comments against a proposed battery factory and showroom. In Texas, residents have protested Tesla’s tax breaks for its Gigafactory. The backlash has had tangible business consequences: Tesla’s UK vehicle sales plummeted by 60% year-over-year as of July 2025, even as the global electric vehicle market continued to expand. Despite these setbacks, Tesla’s board recently awarded Musk a staggering $29 billion stock grant, justifying it as a move to “energize and focus” the company—an action that has drawn skepticism and ridicule both online and in the press.

Public comments on Tesla’s Ofgem application remain open until August 22, 2025, with no clear indication yet of how the regulator will rule. The debate highlights a broader question: Can the promise of technological innovation overcome the liabilities of polarizing leadership, especially in sectors as vital as national energy?

While Tesla’s proposal is mired in controversy, another major energy project has been making steady progress with an entirely different set of challenges and opportunities. Sizewell C, a new nuclear power station on the Suffolk coast, is being championed as a cornerstone of the UK’s net zero ambitions. On August 21, 2025, Julia Pyke, Joint Managing Director at Sizewell C, wrote in detail about the project’s financial and national benefits, emphasizing its role in the country’s clean energy future.

Sizewell C is groundbreaking not only for its engineering but also for its financing. The project employs the Regulated Asset Base (RAB) model, a mechanism that has already underpinned over £200 billion of UK infrastructure, including Heathrow Terminal 5 and the Thames Tideway Tunnel. Unlike traditional project finance models, RAB spreads costs more evenly among consumers and investors, reducing interest build-up and incentivizing efficient delivery. For households, the immediate impact is modest: about £1 per month added to electricity bills during construction. Once operational, Sizewell C will produce clean, low-carbon electricity at an average cost of £60–£70 per megawatt hour (in 2012 money), and is projected to reduce overall electricity system costs by roughly £2 billion annually.

The scale and scope of Sizewell C are impressive. The plant will generate enough electricity to power six million homes for at least 60 years, creating over 70,000 jobs during construction and thousands of apprenticeships. More than 70% of construction spending will stay within the UK, bolstering domestic industry and skills. The long-term fiscal benefits are substantial as well, with tens of billions of pounds expected to flow to the Treasury over the plant’s lifetime.

Pyke highlights that the reliability of nuclear power addresses hidden system costs that rise with greater reliance on renewables—such as backup generation, grid balancing, and transmission from remote sites. By providing stable, round-the-clock power, Sizewell C will help smooth the integration of intermittent renewables, ensuring that the UK can maximize its wind and solar resources without sacrificing grid stability or affordability.

Perhaps most crucially, Sizewell C is framed as a bulwark of national security. “Recent global events have shown that energy security is national security,” Pyke asserts. By reducing dependence on volatile gas markets and insulating the country from geopolitical shocks, nuclear power offers a resilient, low-carbon energy source designed to last for generations. The project is positioned as a catalyst for industrial strength, innovation, and investment in high-growth sectors like artificial intelligence and data centers, which require reliable electricity to thrive.

The juxtaposition of Tesla’s embattled bid and Sizewell C’s steady advance illustrates the complex landscape of the UK’s energy transition. Both projects aim to accelerate the shift away from fossil fuels, support economic growth, and secure the nation’s energy future. But where one is hampered by the baggage of its leadership, the other seeks legitimacy through proven financial models and promises of broad-based national benefit.

As the UK weighs its options, the stakes could hardly be higher. The choices made now will shape not only the country’s energy mix, but also its economic resilience and social cohesion in the decades to come.