A state House of Representatives panel voted Wednesday to make it easier for Arizonans to buy a Tesla. The company produces all-electric luxury vehicles. Current law prohibits car manufacturers from selling directly to customers.
Consumers can see model cars in Tesla’s showroom in Scottsdale, but to buy one, a consumer has to order it online. This billwould allow car manufacturers to sell directly to customers as long as the factory doesn’t have relationships with dealers.
A similar billwas introduced last year, but didn’t pass.
Tesla lobbyist Barry Aarons said the dealers don’t want the competition.
“What you have is essentially an oligopoly that has over the years created a protectionist system that controls entry and exit, which works fine as long as the product you are selling remains to be the singular type of product, in this case, the internal combustion engine,” Aarons said.
The Arizona Automobile Dealers Association is concerned this law could hurt business.
Lobbyist Don Isaacson said, “A system that employs 30,000 people, a dispersed economic engine that brings jobs, service, real estate value, economies, civic contributions to every corner of the state, 268 dealers in every town of every size in Arizona.”
The legislation still has to go through two more committees before it can be voted on.
