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Tesla canceling solar roof orders for some customers who already paid: Report

Shawn M. Carter

Some Tesla customers who put deposits on solar panels are now being told they won’t get them.

The automaker and energy company told those customers in an email that their homes are not located within Tesla’s service areas, according to a report in Electrek.

“Upon further review, your home is not located within our currently planned service territory,” the email read. “The driving distance from our closest warehouse would make it difficult for us to provide you the high-quality service that our customers deserve. For this reason, we will not be able to proceed with your project.”

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Tesla debuted its solar roof tile in 2017 started taking pre-orders with $1,000 deposits. The company, at the time, the report noted, anticipated that installations would begin soon after.

After revamping its design and launching the Solar Roof V3 in 2019, Tesla ramped up production and hired roofers to install the tiles in more states across the country. At the same time, the company began canceling many orders for customers outside of its region.

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Tesla did not immediately respond to a request for comment from FOX Business.

However, in its email to customers, the company said refunds would be issued within 10 business days.

If you agree with our assessment, a response is not required. You will be receiving a refund of your deposit within 7-10 business days to the card used when placing your order.”

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The move to cut off installations in some areas comes as the coronavirus pandemic forces companies to rethink the way they operate. It also comes as Telsa’s stock is surging.

The carmaker turned a GAAP profit in the first quarter of 2020 of $16 million. Shares hit a record closing price above $1,000 Wednesday and so far have jumped 357 percent on the year.

Shares were down about 4 percent Thursday but hovered around $978.

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