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Tesla to Get Fewer Eco Credits as California Tweaks Rules

Tesla Motors Inc., which had its first profitable quarter last year aided by sales of California environmental credits, is to receive fewer for each Model S sold as the state modifies its zero-emission vehicle program.

The Palo Alto, California-based carmaker, which sold ZEV credits worth $129.8 million last year to other automakers, will initially qualify for only four credits per car sold in California and states that follow its rules. That’s down from seven per Model S through 2013, according to California’s Air Resources Board, which posted the changes April 3.