A 75 MW Solar Plant and a 43 MW Wind Power Plant will be established in Tamil Nadu
CHENNAI, Nov 21 (The CONNECT) – Swiftly moving towards its RE100 target, Hyundai Motor India Limited (HMIL) has planned to set up two renewable energy plants in Tamil Nadu.
RE100 is a global corporate renewable energy initiative by the Climate Group, bringing together hundreds of large and ambitious businesses committed to 100% renewable electricity.
HMIL currently fulfils 63% of its energy requirements using renewable sources, and aims to reach the 100% mark ahead of most automakers in the country.
A 75 MW Solar Plant and a 43 MW Wind Power Plant will be established in Tamil Nadu through a Group Captive Mode
HMIL signed a Power Purchase and Shareholder Agreement with Fourth Partner Energy Limited (FPEL). This strategic partnership aims to enhance HMIL’s renewable energy portfolio and transition to 100% renewable electricity across its manufacturing operations by 2025.
The agreements were signed by Gopalakrishnan Chathapuram Sivaramakrishnan, Whole-time Director & Chief Manufacturing Officer, HMIL, and Karan Chadha, National Head, Business Development – Fourth Partner Energy Limited (FPEL), at HMIL’s Chennai Manufacturing Plant.
Sivaramakrishnan said, the collaboration with FPEL will help Hyundai Motors achieve the RE100 benchmark by 2025.
As part of this partnership, HMIL will invest INR 38 Crores towards setting up these renewable energy plants in Tamil Nadu. These facilities will operate under a Group Captive Mode with a Special Purpose Vehicle (SPV) formed for Engineering, Procurement, Construction, Operations and Maintenance.
HMIL will hold 26% and FPEL will hold 74% equity stake in the project. This long-term agreement will ensure a 25-year supply of renewable energy to HMIL.
HMIL’s robust Energy Management System involves conserving energy and resources throughout its operations, incorporating low-carbon practices and reducing emission across the value chain. The company has further adopted large-scale innovative practices in energy management like 100% transition from conventional to LED lighting in the plant as early as 2017 and at all its offices and dealerships, thermo-ceramic coating on furnaces and ovens to reduce fuel consumption, steam elimination through waste heat recovery in paint shops, relocation of boilers to reduce transmission loss, installation of turbo chillers in paint shops, to name a few.
HMIL has also installed a 10 MW rooftop solar plant at its manufacturing facility at Chennai. Since October 2022, the company has been strategically purchasing green power from Indian Energy Exchange (IEX) to increase its renewable energy portfolio.
This collaboration with FPEL underscores HMIL’s commitment to sustainability and renewable energy adoption as part of its broader efforts to achieve environmental stewardship and align with global benchmarks.
