Hyundai Motor unveils solar-powered U.S. plant

[Courtesy of Hyundai Motor Group]

Hyundai Motor Group will run its U.S. electric vehicle-exclusive plant entirely on solar power, aiming to boost renewable energy use and fast-track carbon neutrality within the conglomerate.

According to the automotive group on Monday, it inked a 15-year power purchase deal with Spanish renewable energy developer Matrix Renewables for a solar project to fuel Hyundai Motor Group Metaplant America (HMGMA)’s plant in Georgia. The plant, scheduled to be fully operable in October 2024, will rely on Matrix Renewables‘ renewable energy from 2025 to 2040, and the deal marks is the largest deal for a South Korean company to procure renewable energy for their U.S. facilities.

By transitioning the Georgia plant to renewable energy, the automotive group expects to cut carbon emissions by about 140,000 tons annually, equivalent to emissions from 84,000 mid-sized sedans per year. This aligns with the group’s goal under the “RE100” campaign to be fully operable via renewable energy by 2040 to 2045.

The solar project slated to supply solar power to HMGMA’s Georgia plant is a 210-megawatt (MW) facility in Bell County, Texas that is currently being built by Matrix Renewables and set to commence commercial operations in October 2025. Hyundai Motor Group will secure 147MW from this facility, representing 70 percent of Matrix Renewables‘ total capacity.

[Source: ESG Reports]

The contract is a joint deal involving other Hyundai Motor Group entities, including HMGMA, Hyundai Mobis North America Electrified Powertrain LLC, Hyundai Steel Georgia, and Hyundai Transys Georgia, enabling cost savings vis a vis the entities procuring renewable energy individually.

This contract is the conglomerate’s first group-level renewable energy deal encompassing multiple subsidiaries. Hyundai Motor Group plans to expedite the transition to renewable energy via integrated procurement and long-term contracts and has been actively promoting renewable energy transitions at various global production hubs outside the United States as well. Notably, Hyundai Motor‘s factories in the Czech Republic and Indonesia factories are currently fully reliant on renewable energy thanks to the purchase of Renewable Energy Certificates (REC) in preceding years.

“There will be more investments and contracts for the conversion to renewable energy at the group’s U.S. facilities, starting with this solar power agreement,” the auto group confirmed.