Tesla is making various improvements to its third-gen Wall Connector
@ChrisTesla/Twitter
Tesla operates two charging networks; the Supercharger and the Destination Charger. The Supercharger network consists of direct current, fast-charging stations for long-distance driving.
The Destination Charger network consists of slower-speed chargers, specifically the Tesla Wall Connector, installed at restaurants and hotels for Tesla owners to charge at their destination.
Destination Charging has typically been free up until now. Tesla announced that they are enabling paid charging at Destination Chargers. In order to set pricing at a Destination Charger location, restaurants and hotels will need at least six Tesla Wall Connectors.
In 2020, Tesla upgraded Destination Chargers with third-generation Wall Connectors, and the EV automaker told property managers that it would enable paid charging with this new generation charger.
Tesla’s Destination Charging locations have usually been complimentary. In most cases, the only requirement was that the Tesla owner was also a customer of the business.
The chargers would help bring more customers to the business, who would cover the cost of electricity from the Destination Chargers.
A great example of Destination Chargers that increase business is hotels. A Tesla owner may be more likely to choose a hotel with Destination Chargers if it means they could easily charge when needed while on vacation.
With the new 3rd generation Wi-Fi-connected Wall Connector, Tesla is enabling businesses to set their own price for charging. However, a business must have at least six Wall Connectors to activate the feature:
Tesla Commercial Services can be enabled on Gen3 Tesla Wall Connectors that are connected to either Wi-Fi or Cellular and have a signed Services Agreement with Tesla. A minimum of six units are required to be installed to be considered forthis service.
This excludes many Destination Chargers since most locations only have two to four Tesla Wall Connectors.
This upgrade will also encourage some property managers to add more chargers since they can charge customers for the service and cover their electricity costs.
Tesla Owners
Tesla Wall Connectors can add about 44 miles of range per hour of charging. In some circumstances, this is a better solution than a Supercharger, which has idling fees after your vehicle is done charging.
Property Managers
Now that property managers can charge for the service, they can cover the cost of deploying the chargers and the cost of electricity while also attracting Tesla owners to their businesses or apartment complex.
Apartment Complexes
If you live in an apartment complex and haven't bought an EV because of limited access to charging, this could be a turning point.
Up until now, many apartment complex managers have been hesitant to add EV chargers due to the added cost. However, now they'll be able to pass on any costs to their residents, adding value to their apartment complex without accruing any charges.
Destination Chargers can be used by Teslas and any other EV with an adapter.
It'll be interesting to see whether Tesla opens up this feature further by removing the six Destination Charger requirement. That would allow almost anyone to charge for the use of their Wall Connector.
Tesla will soon retrofit some of their Superchargers with a CCS plug, allowing non-Tesla vehicles to charge without the use of an adapter. It's possible that the same feature may also arrive for the Wall Connector in the future.
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The massive legislative effort titled the "Big Beautiful Bill" is taking direct aim at what has become one of Tesla’s most critical and profitable revenue streams: the sale of US regulatory credits. The bill could eliminate billions of dollars from Tesla’s bottom line each year and will slow down the transition to electric vehicles in the US.
The financial stakes for Tesla are absolutely immense. In 2024, Tesla generated $2.76 billion from selling these credits. This high-margin revenue was the sole reason Tesla posted a profit in Q1 2025; without the $595 million from regulatory credits, Tesla’s reported $409 million in profit would have been a $189 million loss.
How the ZEV Credit System Works
Zero-Emission Vehicle (ZEV) credits are part of state-level programs, led by California, designed to accelerate the adoption of electric vehicles. Each year, automakers are required to hold a certain number of ZEV credits, with the amount based on their total vehicle sales within that state. Under this system, automakers that fail to sell a certain percentage of zero-emission vehicles must either pay a significant fine or purchase credits from a company that exceeds the mandate.
Automakers who fail to sell enough EVs to meet their quota have a deficit and face two choices: pay a hefty fine to the state government for each missing credit (for example, $5,000 per credit in California) or buy credits from a company with a surplus.
As an all-EV company, Tesla generates a massive surplus of these credits. It can then turn around and sell them to legacy automakers at prices cheaper than the fine, creating a win-win scenario: the legacy automaker avoids a larger penalty, and Tesla gains a lucrative, near-pure-profit revenue stream.
This new bill will dismantle this by eliminating the financial penalties for non-compliance, which would effectively make Tesla’s credits worthless. While the ZEV program is a state law, the Big Beautiful Bill will fully eliminate the penalties at a federal level.
A Multi-Billion Dollar Impact
The removal of US ZEGV credits would be a severe blow to Tesla’s financials. One JPMorgan analyst estimated that the move could reduce Tesla’s earnings by over 50%, representing a potential annual loss of $2 billion. While Tesla also earns similar credits in Europe and China, analysts suggest that 80-90% of its credit revenue in Q1 2025 came from US programs.
Why the Program Exists
While the impact on Tesla would be direct and immediate, the credit system has a wider purpose. It creates a strong financial incentive for legacy automakers to develop and accelerate their zero-emission vehicle programs, whether it’s hydrogen, electric, or another alternative.
Eliminating the need for these credits would remove that financial pressure. This could allow traditional automakers to slow their EV transition in the US without the fear of a financial penalty, potentially leading to fewer EV choices for consumers and a slower path to vehicle electrification in the country.
Big, But Not Beautiful
On Sunday Morning TV, Elon Musk was asked his thoughts on the Big Beautiful Bill. They were pretty simple. A bill could be big, or it could be beautiful - I don’t know if it can be both, Musk stated.
Elon Musk in new interview: "I was disappointed to see the massive spending bill, frankly, which increases the budget deficit and undermines the work the DOGE team is doing. I think a bill could be big, or it could be beautiful—I don't know if it can be both." pic.twitter.com/DnyjHN7xCY
The bill poses a threat to Tesla’s bottom line and to the adoption of EVs in the US market, where automakers will no longer have a financial incentive to transition to cleaner vehicles, a market they’ve regularly struggled in when competing against Tesla.
Tesla will have to work carefully in the future to cut expenses to remain profitable after the elimination of these regulatory credits.
Tesla is rolling out a thoughtful and much-needed update to its in-vehicle Supercharger UI. The update is designed to provide drivers with details about Superchargers and their locations.
The update will add new icons and contextual messages to clarify Supercharger access requirements or restrictions, such as paid parking. There’s nothing worse than navigating to a Supercharger only to find out it's only for customers, requires paid parking, or some other service.
The new details will appear in various locations, including the Supercharger list, Supercharger module, and above the navigation directions when navigating to a Supercharger.
The new Supercharger icons will indicate the following requirements:
Valet-only Parking
Pay to Park
Access Codes
Parking Floor (the floor the Supercharge is on in a parking garage)
These icons are initially displayed when you’re searching for a Supercharger in the list of Superchargers. Additionally, when navigating to a site that includes any of the above, your vehicle will now display specific alerts for access requirements.
Access Codes and Parking Floor information will be provided above the navigation card when you reach the destination.
Solving Common Frustrations
Not a Tesla App
While these may seem like minor tweaks, they are a direct solution to some long-standing and common frustrations for many Tesla owners. Many drivers have likely experienced the scenario of following navigation to an unfamiliar urban Supercharger, only to arrive and discover it’s buried deep within a paid parking garage, with no advance warning of the fees or specific floor location.
This update provides all the critical information upfront so that drivers can make informed decisions on where they would like to charge. No more surprise parking fees, no circling a multi-level garage at 3% battery, desperately searching for the red and white Supercharger signs, and no more getting stuck searching for an access code to charge.
Little Details Matter
These Supercharger updates are the definition of quality-of-life improvements. Little details that make a big difference in usability.
As the Supercharger network continues its massive expansion into more complex and densely populated urban centers, providing this kind of granular, logistical data becomes increasingly important.
Release Date
While Tesla hasn’t announced when these features will be added, they’ll likely be included in the next major Tesla software update, presumably update 2025.24 or 2025.26.
The Tesla app was recently updated to v4.46.5 and added the ability to restrict location visibility for other drivers of the vehicle. Although the app update didn’t include these Supercharger updates, we expect these new Supercharger details to also be added to the Tesla app soon.
