Elon Musk’s Vegas Loop faces scrutiny over safety and environmental violations

Elon Musk’s Vegas Loop, a network of underground tunnels transporting passengers in Teslas, is under fresh scrutiny from Nevada lawmakers over alleged workplace safety and environmental violations

Elon Musk’s “Vegas Loop,” an underground tunnel network designed to transport passengers in Teslas, faced renewed scrutiny this week from Nevada lawmakers who expressed concerns about alleged workplace safety and environmental violations.

State safety officials endured hours of intense questioning from lawmakers regarding alleged violations by the Boring Company, the Musk-owned venture that also has tunneling projects planned in Nashville and Dubai. Company officials chose not to attend the hearing but submitted written responses defending the project.

“I think they are a company that acts like they are kind of above the law and want to play by their own set of rules,” Democratic Assemblymember Howard Watts, whose district includes the tunnel project, told The Associated Press.

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Launched in 2021, the Vegas Loop provides complimentary rides around the Las Vegas Convention Center and charges between $4 and $12 for trips to select hotels, casinos and the airport. The Teslas can be summoned via website or accessed at designated stations.

The Boring Company has approval to construct 68 miles (109.44 kilometers) of tunnels and 104 stations over the coming years in Vegas, a city lacking efficient and comprehensive public transportation.

Vegas Mayor Shelley Berkley commended the project in January following the city’s issuance of a permit for a new tunnel.

“The city is excited to bring an innovative transportation option to downtown Las Vegas and create another way for visitors to experience all that the city has to offer,” she said. The Boring Company has been accused of violating numerous safety and environmental regulations.

From 2020 to 2026, the Nevada State Occupational Safety and Health Administration received 17 complaints against the company. Last year, ProPublica reported that the company faced nearly 800 environmental violations for its Las Vegas project.

Out of those 17 complaints, one led to an inspection resulting in eight proposed citations. These included allegations that 15 to 20 employees were injured after being burned with accelerants and that there were no showers available for employees who got sprayed with the accelerants.

Several other complaints are still pending. The Boring Company has paid nearly $600,000 in fines, most of which were assessed for discharging untreated wastewater.

The company is contesting about $355,000 in fines with Nevada’s OSHA and the Nevada Division of Environmental Protection.

The company did not respond to emails from The Associated Press seeking comment. However, in a letter to lawmakers, the company highlighted its safety procedures, including daily inspections and workplace safety training.

On Tuesday, Watts also brought attention to a September 2025 incident where a worker suffered a crushing injury inside a tunnel after being pinned between two 4,000-foot pipes. Firefighters used a crane to extract him from the tunnel opening, Watts said.

In a statement released in September to local media, the company stated it was investigating the incident and emphasized that the safety and well-being of its employees are of utmost importance. The company also reported that the employee involved was in stable condition and doing well.

Watts indicated that lawmakers might introduce legislation next year when they reconvene to expedite the process of assessing violations and reduce the timeframe for contesting them.

The scrutiny in Nevada coincides with Musk’s company initiating construction on the Music City Loop in Nashville, despite opposition from some local officials who have raised concerns about safety, transparency, and lack of local involvement. The initial 13-mile tunnel system is set to connect the city’s airport and downtown area.

Last year, the state rescinded over $425,000 in fines related to an incident in May 2025 where two firefighters sustained chemical burns while participating in a training exercise at the site.

OSHA’s reports contained errors and inconsistencies, which meant they likely wouldn’t meet the high standard of proof needed to uphold the fines, according to Salli Ortiz, the agency’s legal counsel. The state discovered that the two firefighters had chosen not to wear a second layer of protective clothing, and The Boring Company had held six safety meetings with the fire department prior to the drill, as per inspection reports.

Democratic lawmakers criticized Republican Gov. Joe Lombardo and his administration for being lenient towards the company.

“The idea that there is external pressure that is swaying my decision making, or our division’s decision making, or that there’s any pressure that comes from me as a result of pressure from on high is incorrect,” Kris Sanchez, director of the state Department of Business and Industry, told lawmakers Tuesday.

The tunnel system has already proven popular with many visitors, particularly during major events like the annual Consumer Electronics Show in January. On a recent weekday, the Las Vegas Convention Center station saw a constant flow of Teslas collecting and dropping off passengers.

San Diego resident Devin Newcomb, a regular visitor to the city, said the Vegas Loop makes getting around much easier, and believes it will be even more beneficial when it expands to locations like the Venetian. “It’s awesome. I love it,” he said.

Florida resident Samantha Mingola has been using the Vegas Loop while attending an expo at the convention center. She said it’s simpler to arrange than other ride-sharing services, and has been particularly handy since her hotel has a loop station.

However, she expressed concerns about the structural integrity of the tunnels and has reservations about a company operated by Musk.

“It’s a good idea but it scares me,” Mingola said on her way to the station.