Hyundai Motor Inks 64-Megawatt Solar Power Deal to Advance Zero-Emission Production

Seoul – Hyundai Motor Co. announced it has signed a solar power purchase agreement (PPA) with Hyundai Engineering and Construction Co. The agreement is part of Hyundai Motor's efforts to expedite its carbon-neutral production policy. Under the deal, Hyundai Motor aims to procure 64 megawatts of solar renewable energy for its Ulsan plant by 2025, though financial details were not disclosed.

According to Yonhap News Agency, the agreement represents the largest PPA signed by a domestic company in South Korea. Hyundai anticipates an annual carbon reduction effect of 39,000 tons through this initiative. In 2021, Hyundai set a goal to achieve complete carbon neutrality by 2045 and has been actively working to reduce carbon emissions across its entire value chain.

In addition to the PPA, Hyundai Motor plans to invest over 200 billion won (approximately US$153.9 million) by 2025 in constructing solar self-generation infrastructure within its domestic business premises. The company aims to source 60 percent of the total electricity for both domestic and international facilities from renewable energy by 2030.

Hyundai Motor is also striving for 100 percent utilization of renewable energy in its overseas facilities by 2030. Strategies to achieve this target include self-generation energy, additional PPAs, and purchasing renewable energy certificates. This move aligns with the company's broader commitment to sustainability and reducing its environmental footprint.