Hyosung Heavy Industries' Changwon plant said on the 28th it will procure 1.6 megawatts (MW) of solar power from an external power producer starting this month by applying a power purchase agreement (PPA). A PPA is a system in which corporations sign contracts with power producers to purchase and use renewable energy.
The Changwon plant decided to receive solar power generated by Taean Solar Farm through the renewable energy corporations Encored. This method has the advantage of securing eco-friendly power stably over the long term without directly installing separate generation facilities.
A Hyosung Heavy Industries official said, "The Changwon plant has operated 5.3 MW of in-house solar generation facilities," and added, "With this PPA, the Changwon plant's use of renewable energy will increase by about 30% compared with the existing in-house generation facilities."
The company expects the deal to reduce greenhouse gases by about 966 tons (t) annually.