Hyundai Motor signs Korea’s largest renewable energy purchase deal
Jin-Won Kim
Oct 30, 2024 (Gmt+09:00)
Solar panels at Hyundai Motor's Asan plant South Korea’s top automaker Hyundai Motor Co. said on Wednesday it has signed a deal to procure 610 gigawatt-hours (GWh) of renewable energy annually over the next 20 years from four domestic power generating firms – the largest renewable energy supply deal in the country.
Under the power purchase agreement (PPA), Hyundai will receive renewable energy from GS E&R Corp., Hyundai Construction & Engineering Co. (Hyundai E&C), SK E&S Co. and Enlighten Co. to power its domestic operations.
GS E&R will also provide Hyundai Motor with over 130 GWh of wind power energy annually starting in 2027 – a contract representing the largest renewable energy supply to a company from a wind farm in Korea.
Hyundai said it expects the long-term energy procurement deal to reduce greenhouse gas emissions by about 5.6 million tons.
The automaker plans to use 100% renewable energy at all its domestic and international facilities by 2045.
Hyundai Motor Group logo (Courtesy of AP) Hyundai recently installed 20 MW of solar power generation capacity at its Korean facilities and plans to add 11 MW of solar panels at its dedicated electric vehicle factory in Ulsan, southeast of Seoul next year.
Hyundai’s plants in the Czech Republic and Indonesia have already transitioned to 100% renewable energy.
Next year, all energy used at its plants in the US, India and Turkey will also be renewable.
“In addition to PPAs, we will expand solar power-generation facilities and build a diverse renewable energy portfolio to achieve carbon neutrality. By 2045, we aim to achieve 100% renewable energy use at all our operations worldwide,” said a company official.
Write to Jin-Won Kim at jin1@hankyung.com In-Soo Nam edited this article.