Hyundai partners with Fourth Partner Energy to develop 75 MW solar and 43 MW wind plants, targeting 100% renewable electricity for its operations by 2025.
21 Nov 2024 | 1339 Views | By Autocar Professional Bureau
Hyundai Motor India Limited (HMIL) is set to establish two renewable energy plants in Tamil Nadu as part of its plan to transition to 100% renewable electricity across its operations by 2025. The company has signed a Power Purchase and Shareholder Agreement with Fourth Partner Energy Limited (FPEL) at its ...
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Hyundai Motor India Limited (HMIL) is set to establish two renewable energy plants in Tamil Nadu as part of its plan to transition to 100% renewable electricity across its operations by 2025. The company has signed a Power Purchase and Shareholder Agreement with Fourth Partner Energy Limited (FPEL) at its Chennai Manufacturing Plant. This initiative includes the development of a 75 MW solar power plant and a 43 MW wind power plant, which will operate under a Group Captive Mode to cater to HMIL's renewable energy needs.
HMIL aims to meet the RE100 benchmark, a global corporate renewable energy initiative by the Climate Group, which brings together businesses committed to using 100% renewable electricity. As of June 2024, the company fulfills 63% of its energy requirements through renewable sources. By reaching the RE100 target, HMIL intends to join other businesses in adopting sustainable practices.
The agreement was signed by Gopalakrishnan Chathapuram Sivaramakrishnan, Whole-time Director & Chief Manufacturing Officer of HMIL, and Karan Chadha, National Head of Business Development at FPEL. Speaking on the occasion, Gopalakrishnan highlighted the importance of this collaboration in meeting HMIL's renewable energy goals and reducing its carbon footprint.
Under the terms of the partnership, HMIL will invest Rs 38 crores in the project, holding a 26% equity stake, while FPEL will hold the remaining 74%. The renewable energy plants will supply over 25 crore units of clean energy annually for 25 years, with an expected reduction in CO2 emissions by 2 lakh tons per year.
FPEL's Co-Founder & Executive Director, Vivek Subramanian, emphasised the collaboration's role in supporting India's renewable energy objectives and HMIL's shift to sustainable energy consumption.
HMIL has integrated various energy conservation measures, including a 10 MW rooftop solar plant at its Chennai facility, energy-efficient LED lighting in its plants, offices, and dealerships, and waste heat recovery systems in paint shops. Since October 2022, the company has also been purchasing green power from the Indian Energy Exchange to enhance its renewable energy portfolio.