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Taxpayers funded $177M of equipment for Tesla, now it's no longer needed

That includes at least $127 million of surplus machinery at the South Buffalo Tesla Gigafactory.

BUFFALO, N.Y. — Millions of dollars worth of equipment taxpayers helped fund at Tesla's Gigafactory in South Buffalo is now going to waste. 

In total, $177 million of taxpayer funded gear is no longer needed by Tesla.

It includes at least $127 million of surplus machinery.

That's in addition to the $50 million worth of equipment 2 On Your Side reported on last year which was shipped to a warehouse in Wheatfield.

"As part of a our long-term strategy, we are taking steps to reduce both excess inventory and expenses, which includes selling unneeded tools and equipment," said Jason Conwall, vice president with the state agency NY CREATES.

2 On Your Side can also report some of the equipment that was no longer needed was shredded at a scrap yard.  

The South Buffalo Tesla plant was created with the promise it would bring more than 2,000 jobs to Western New York. The company is 500 jobs short of that goal, but has until December 31 to meet it.

Tesla was granted an extension because its business operations have taken a hit from the COVID-19 pandemic. If Tesla doesn't meet the requirement, the state could fine the solar panel manufacturer up to $40 million.

As for that surplus of equipment, this is a developing story.