Musk’s underground tunnels in Las Vegas face scrutiny over safety, environmental concerns

Elon Musk’s Vegas Loop Under Scrutiny for Safety and Environmental Concerns

Nevada lawmakers intensified their examination this week of Elon Musk’s underground transportation system in Las Vegas, raising pointed questions about alleged workplace safety violations and environmental infractions by the billionaire’s tunneling venture.

The “Vegas Loop,” a network of underground tunnels where passengers travel in Tesla vehicles, has been operational since 2021. The system currently offers free rides around the Las Vegas Convention Center and charges between $4 and $12 for transport to select hotels, casinos, and the airport. The Boring Company has secured approval to construct 68 miles of tunnels and 104 stations throughout Las Vegas in the coming years.

“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,” said Democratic Assemblymember Howard Watts, whose district includes the tunnel project.

During the legislative hearing, state safety officials faced hours of questioning about The Boring Company’s compliance record. Company representatives declined to attend the session but submitted written responses defending their operations and safety protocols.

The Boring Company’s safety record has come under increasing scrutiny. Since 2020, the Nevada State Occupational Safety and Health Administration has received 17 complaints against the company. One inspection resulted in eight proposed citations, including allegations that 15 to 20 employees suffered burns from accelerants without access to proper decontamination showers.

A particularly concerning incident occurred in September 2025 when a worker sustained crushing injuries after being pinned between two 4,000-foot pipes inside a tunnel. Emergency responders had to use a crane to extract the worker from the tunnel opening.

Environmental violations have also plagued the project. According to a ProPublica report, the company has been accused of nearly 800 environmental infractions related to its Las Vegas operations. The Boring Company has already paid approximately $600,000 in fines, primarily to the local water reclamation district for discharging untreated wastewater. The company is currently contesting around $355,000 in additional penalties from Nevada’s OSHA and the Division of Environmental Protection.

Some Democratic lawmakers suggested that Republican Governor Joe Lombardo’s administration has been lenient with the company. However, Kris Sanchez, director of the state Department of Business and Industry, firmly rejected this characterization during Tuesday’s hearing.

“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,” Sanchez stated.

State officials also explained their decision to withdraw over $425,000 in fines stemming from a May 2025 incident where two firefighters received chemical burns during a training exercise. Salli Ortiz, OSHA’s legal counsel, told lawmakers that the reports contained errors and inconsistencies that would have made it difficult to meet the burden of proof required to justify the penalties. The investigation revealed that the firefighters had opted not to wear a second layer of protective clothing, despite The Boring Company conducting six safety meetings with the fire department before the drill.

Assemblymember Watts indicated that lawmakers might introduce legislation in the next session to streamline the process for assessing violations and reduce the timeline for contesting them.

Despite the regulatory challenges, the Vegas Loop has gained popularity among visitors, particularly during major events like the annual Consumer Electronics Show. Regular users praise its convenience, especially at the Las Vegas Convention Center where Teslas continuously pick up and drop off passengers.

San Diego resident Devin Newcomb, a frequent visitor to Las Vegas, expressed enthusiasm about the system. “It’s awesome. I love it,” he said, adding that the planned extension to locations like the Venetian will make it even more useful.

The scrutiny in Nevada comes as The Boring Company expands to other markets. In Nashville, construction has begun on the “Music City Loop” despite opposition from some local officials concerned about safety, transparency, and limited community input. The initial 13-mile stretch will connect Nashville’s airport to downtown.

Las Vegas Mayor Shelley Berkley has remained supportive of the project, highlighting its innovative approach to urban transportation. When the city issued a permit for a new tunnel in January, she emphasized the system’s potential to enhance visitor experiences throughout the city.