Venture capitalist Chamath Palihapitiya isn't holding back when it comes to California's latest revenue scheme. He responded to a CalMatters report about the state's new battery fee with characteristic sarcasm: "Of course…and I'm sure this money will go to a good cause…"

What's This Battery Fee About?

Starting January 1, Californians are paying a 1.5% fee on products with nonremovable batteries. The fee is capped at $15 per item, which means everything from power tools and gaming consoles to greeting cards with built-in music chips now costs a bit more.

The fee comes from Senate Bill 1215, signed into law back in 2022. The official purpose? Funding the safe collection and disposal of lithium-ion batteries, which carry legitimate fire and explosion risks if handled improperly.

Part of a Bigger Complaint

Palihapitiya's jab at the battery fee isn't happening in isolation. He's been increasingly vocal about California's fiscal policies, particularly the state's proposed wealth tax. He's warned that taxing ultra-wealthy residents could backfire spectacularly, pushing them to relocate and actually worsening the state's budget deficit.

The battery fee comment seems to feed into his broader frustration with how California collects and manages tax revenue. Whether he's right about where the money ends up is another question entirely.