{"id":17756,"date":"2026-01-17T10:05:48","date_gmt":"2026-01-17T10:05:48","guid":{"rendered":"https:\/\/topat10.com\/?p=17756"},"modified":"2026-01-17T10:05:48","modified_gmt":"2026-01-17T10:05:48","slug":"exclusive-elon-musks-boring-co-is-studying-a-tunnel-project-to-tesla-gigafactory-near-reno","status":"publish","type":"post","link":"https:\/\/topat10.com\/?p=17756","title":{"rendered":"Exclusive: Elon Musk\u2019s Boring Co. is studying a tunnel project to Tesla Gigafactory near Reno"},"content":{"rendered":"\n

Elon Musk\u2019s tunneling startup Boring Company is working with a Nevada state-affiliated group to study a tunnel project that would go under the nine-mile stretch of highway from Reno to Tesla\u2019s Gigafactory, according to documents reviewed by Fortune<\/em>.<\/p>\n

\n

The Economic Development Authority of Western Nevada (EDAWN), a non-profit that recruits companies to do business and expand in the state, paid Boring Company $50,000 in October to draw up conceptual designs and conduct a feasibility report for a new transportation alternative to the Tahoe-Reno Industrial Center, the mega-business complex that houses Tesla\u2019s Gigafactory, according to a copy of the study invoice, which was obtained by Fortune<\/em> via a Freedom of Information Act Request.<\/p>\n

The potential tunnel project is one of several options various state groups are considering in order to alleviate the steep rise in traffic and accidents along Interstate 80 as more data centers and companies move into the 107,000-acre Industrial Center east of Reno and Sparks, Nev. Tesla<\/a> and Panasonic<\/a>, the two largest companies in the Center, have been in contact with the Nevada Governor\u2019s Office since at least last spring about potential transportation solutions, according to emails, which were also obtained by Fortune<\/em> via the FOIA request. Both Tesla and Panasonic are working with the local transportation agency to sponsor an ongoing study for a commuter rail system that would run on the freight rail next to the interstate. They also provided funding to EDAWN to look at other options, according to an email from Chris Reilly, Nevada Governor Joe Lombardo\u2019s former infrastructure director, who introduced a Boring Company executive to leaders at Tesla and Panasonic to discuss the tunnel study.<\/p>\n

It\u2019s not clear if the report has been completed yet, and the specific details of the report\u2014including the exact length of a proposed tunnel, the cost of the projet, and the types of vehicles envisioned for the tunnel, including the potential for autonomous vehicles<\/a>\u2014could not be learned.<\/p>\n

Boring Company, which currently operates a small stretch of tunnel with Teslas underneath the Las Vegas Convention Center, has been trying to pitch a tunnel that would go out to the Gigafactory since at least 2019. \u201cThe Boring Company is extremely interested [in] building a Loop tunnel beneath I-80 out to the Tesla Gigafactory, but would need NDOT\u2019s support,\u201d reads a research report published by the Nevada Department of Transportation seven years ago.<\/p>\n

Boring Company\u2019s approach is novel, with small, single-lane tunnels made specifically for electric vehicles, and the Elon Musk-founded startup has struggled for many years<\/a> to garner the political and regulatory support needed to undertake significant transportation projects. Even in Nevada, where Boring Company has successfully opened a tunnel system and begun chauffeuring passengers in Teslas in Las Vegas, the company has completed only four miles of operational tunnel and is currently experiencing delays as it tries to get necessary approvals to dig under land beyond the County and into the City of Las Vegas. The company is also reckoning with community blowback over safety and environmental issues during tunnel construction.\u00a0\u00a0<\/p>\n

The prospect of a Reno tunnel is still very conceptual, and while more than 20 stakeholders\u2014including city and county officials in the region\u2014have been looped into conversations about a potential commuter rail alongside I-80, few of those parties have yet been roped into a potential Boring Co. project, according to two people regularly briefed on the progress of the rail study, including Bill Thomas, who runs the Regional Transportation Commission of Washoe County, the organization that spearheaded the commuter rail study and road studies.<\/p>\n

\u201cWe did not commission it. We\u2019re not paying for it. I\u2019m not involved in it. But I understand there are conversations exploring whether that could be done,\u201d Thomas says, noting that, while he doesn\u2019t understand what the plan would be, he is supportive of any transportation alternative that could help alleviate traffic and reduce accidents along the Interstate. \u201cIf there\u2019s a private solution that helps the problem and improves safety, as far as I\u2019m concerned, more power to them.\u201d<\/p>\n

Representatives for Tesla, Panasonic, EDAWN, and the Governor\u2019s Office did not respond to requests for comment on this story. Reilly declined to comment.<\/p>\n

A traffic surge<\/h2>\n

Accidents and traffic have ramped up on I-80, which has two lanes going each direction\u2014particularly since the construction of several data centers this past summer as part of Nevada\u2019s push<\/a> to draw more AI companies to the state. There are some 22,000 employees who work at the Industrial Center each day\u201470% of whom live in Reno or Sparks, Nev., according to a commuter rail study update report from March 2025 that was seen by Fortune<\/em>. Nearly 8,000 of those people work for Tesla, and more than 4,000 at Panasonic, according to a second update report from October.<\/p>\n

While the state\u2019s Department of Transportation is currently in the process of widening the highway, that expansion will not start until the end of 2027 and will take a few years to complete. Companies in the Center have requested the Governor\u2019s Office help them with alternative solutions, according to the emails. The number of vehicles traveling on stretches of the Interstate during peak rush hour doubled between January and July 2025, according to data pulled by the Nevada Department of Transportation that was shared with Tesla\u2019s senior facilities manager and Reilly, the former infrastructure director for Nevada Governor Joe Lombardo. \u201cWe are looking for creative ways to improve the Waltham ramp,\u201d a NDOT employee wrote to the Tesla manager and Reilly in an email.\u00a0<\/p>\n

RTC Washoe, the regional transportation commission in Western Nevada, began prioritizing transportation alternatives for I-80 about two years ago, according to Thomas. \u201cAt this point in time, there\u2019s about [one accident] every other day,\u201d Thomas says.<\/p>\n

How effective the Boring Co\u2019s tunnels would be at relieving the congestion is unclear and may depend on whether the tunnel is designed to function as a mass transit system, with a fleet of shared, centrally operated vehicles that commuters hop in and out of, or whether individuals drive their own cars through the tunnel. Boring Company\u2019s 4-mile Las Vegas Loop is able to transport thousands of passengers per day during major conferences at the Convention Center, but those vehicles are operated by dedicated company-hired drivers. With individuals driving their own cars in a tunnel, the potential for accidents and other snafus would likely increase and raise the risk of a severe backlog in a single-lane tunnel.<\/p>\n

Boring Company\u2019s involvement may also draw criticism from the public\u2014particularly after the startup was fined<\/a> for dumping wastewater in Las Vegas and after firefighters were burned<\/a> by chemicals in a tunnel during a training drill. A Nevada Congresswoman recently sent a demand letter<\/a> to Nevada Governor Joe Lombardo, requesting more information on both incidents and requesting more information about his Office\u2019s involvement in Nevada OSHA rescinding citations it had issued to the Boring Company last year.<\/p>\n<\/div>\n\n","protected":false},"excerpt":{"rendered":"

Elon Musk\u2019s tunneling startup Boring Company is working with a Nevada state-affiliated group to study a tunnel project that would go under the nine-mile stretch of highway from Reno to Tesla\u2019s Gigafactory, according to documents reviewed by Fortune. The Economic Development Authority of Western Nevada (EDAWN), a non-profit that recruits companies to do business and […]<\/p>\n","protected":false},"author":734,"featured_media":17757,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_uag_custom_page_level_css":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[123],"tags":[],"class_list":["post-17756","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business"],"yoast_head":"\nExclusive: Elon Musk\u2019s Boring Co. is studying a tunnel project to Tesla Gigafactory near Reno | Unlock Informed Choices with Us<\/title>\n<meta name=\"description\" content=\"The surge of traffic, and accidents, on the highway that leads to the burgeoning industrial center in northern Nevada is driving a search for alternatives.\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, 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The Economic Development Authority of Western Nevada (EDAWN), a non-profit that recruits companies to do business and…","jetpack_sharing_enabled":true,"_links":{"self":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts\/17756","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/users\/734"}],"replies":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=17756"}],"version-history":[{"count":0,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/posts\/17756\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=\/wp\/v2\/media\/17757"}],"wp:attachment":[{"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=17756"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=17756"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/topat10.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=17756"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}