Hyundai Corporation Accelerates its Eco-Friendly Business by Building Another Solar Power Complex in Japan
– HC Has Operated its 6th Solar Power Plant in Japan Since This March
– HC Owns Twelve Solar Power Plants in Korea and Japan
– Samsung C&T, POSCO International, and LX International Have Facilitated Their Eco-Friendly Projects
Hyundai Corporation’s Solar Power Plant in Japan
Hyundai Corporation (HC) has begun reinforcing its future growth engines by constructing another solar power plant in Japan. This initiative reflects Chairman Chung Mong-hyuck’s intention to strengthen eco-friendly projects and to reduce its reliance on trading.
According to Hyundai Corporation’s announcement dated June 1, it completed the construction of its sixth solar power plant in Kochi Prefecture, Japan, this March and has since operated the plant successfully. Four years after it built its first power plant in Japan in 2019, Hyundai Corporation now owns and operates six power plants there. Including its existing five solar power plants, all of its power generation facilities have a combined capacity of 4.2㎿.
In 2018, one year earlier than in Japan, Hyundai Corporation started engaging in the solar power business in Korea. It has since built a total of six solar power plants in Wanju (Jeonbuk), Nonsan (Chungnam), and Gyeongsan (Gyeongbuk). Its power plants in Korea have a capacity of 5㎿. Its power plants in Korea and Japan can therefore generate a combined total of 9.2㎿. A Hyundai Corporation official said, “We will continue to expand our solar power generation business in the future.”
Trading Companies’ Eco-Friendly Projects
| Company | Information |
|---|---|
| POSCO International |
– New offshore wind power plant – Carbon capture & storage connected to gas fields |
| Samsung C&T |
– Making inroads into the US solar power plant market in 2018 – Global cooperation for recycling secondary battery materials |
| LX International |
– Promotion of new and renewable energy projects – Acquisition of a stake (KRW 95 billion) in Poseung Green Power operating biomass power plants |
| Hyundai Corporation |
– Operation of twelve solar power plants in Korea and Japan – Adding “eco-friendly recycling businesses using waste resources” to its project list |
Hyundai Corporation has also paid keen attention to other eco-friendly businesses. Last year, it added “eco-friendly recycling businesses using waste resources” to its project list. To initiate the recycling business, Hyundai Corporation has searched for startups for future collaboration via the Seoul Creative Economy Innovation Center.
This is attributed to the belief that it should maintain a certain distance from trading to expand its sales. Demand for renewable energy including solar and wind power has increased due to the global carbon neutrality initiative. Chairman Chung Mong-hyuck stressed at the ceremony commemorating the 46th anniversary of the group held last year, “We should continue to cultivate H3 (new projects not connected to trading) at home and abroad.
Poseung Green Power’s Biomass Power Plant Acquired by LX International [From LX International]
Other trading companies have also concentrated on eco-friendly projects. The solar power development team belonging to the trading division of Samsung C&T made its full-fledged entry into the US market in 2018. The team has since developed various income generation models, establishing and selling infrastructure to local operators and offering development services. Its Q1 revenue from the sale of solar power businesses is estimated at USD 20 million which is almost equal to its total revenue (USD 22 million) generated in 2021 via the sale of solar power systems
Last September, Samsung C&T established a new and renewable energy subsidiary in Australia to expand its global solar power development program. Promoting global cooperation in recycling secondary battery materials, it has enlarged its eco-friendly business. A Samsung C&T official said, “Fully drawing on our experiences accumulated via existing energy resource trading, new and renewable energy operation, and other projects, we have strengthened our eco-friendly business.”
POSCO International has also expanded its renewable energy projects in order to reach net zero. Following the construction of an onshore wind farm in Shinan, Jeonnam, it plans to build an offshore wind power plant by 2027. Furthermore, POSCO International has actively engaged in carbon capture and storage connected to gas fields. LX International has also promoted new and renewable energy-based power generation. Last year, it acquired a 63.34% stake (KRW 95 billion) in Poseung Green Power operating biomass power plants, as part of such a program.
Herald Business
June 1, 2023