Hyundai Motor Group has recently finalized a significant agreement, by signing a 174-megawatt power purchase agreement (PPA) with a solar energy project which is led by Matrix Renewables, a company based in Spain. The new collaboration is focused on supplying renewable energy to Hyundai's upcoming electric vehicle (EV) manufacturing facility in the United States.
Established for a duration spanning from 2025 to 2040, the 15-year power purchase agreement (PPA) is solidified with the Matrix Renewables-led Stillhouse Solar Project. This eco-friendly endeavor aims to supply renewable energy to fuel Hyundai Motor Group's Metaplant America, the company's pioneering electric vehicle (EV) manufacturing center in North America. Situated in Georgia, this facility signifies Hyundai's strategic venture into large-scale EV production within the region.
The energy will also be used in the electrification-related operations of Hyundai Mobis' North American business and Hyundai Steel's production plant in Georgia, reports Yonhap news agency.
According to Hyundai, the deal marks the biggest PPA signed by a South Korean company for the use of renewable energy at its US facilities. Financial terms weren't disclosed.
Hyundai said the expected carbon reduction effect through the deal amounts to approximately 140,000 tonnes annually, which roughly amounts to the carbon emissions from around 84,000 midsize sedans over one year.
"This contract marks a significant step for the group in securing renewable energy power," a Hyundai Motor official said, adding that the group will further invest in the transition to renewable energy for its U.S. facilities in the future.
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Recently, the energy companies collaborated to create an alliance for an energy network for EV charging in India. The partnership has been named the Unified Energy Interface (UEI) and it further claims to work similarly to the Unified Payments Interface (UPI).
