Hyundai Engineering & Construction said on the 20th it held a cooperation commitment ceremony for renewable energy power supply at Topsla's headquarters in Buk-gu, Gwangju, on the 19th.
At the ceremony were Baek Sang-hyun, head of infrastructure investment and development at Hyundai Engineering & Construction, Topsla Group Chairman Oh Hyeong-seok, and other key officials from both companies. Hyundai Engineering & Construction plans to sequentially sign power supply contracts for solar power projects that Topsla is promoting or building through the end of 2028.
The total installed capacity of solar power that Topsla plans to supply to Hyundai Engineering & Construction is 1.5 gigawatts (GW). This equals the generation capacity of one large nuclear power plant and is the largest ever for a direct power transaction between single corporations. The contract term is at least 20 years for each generation project.
Hyundai Engineering & Construction signed a strategic partnership in June last year with Topsla, the No. 1 domestic corporation in solar power construction. They pledged mutual cooperation across the renewable energy value chain, including business development; engineering, procurement and construction (EPC); operations and maintenance (O&M); investment; and power transactions.
A Hyundai Engineering & Construction official said, "This commitment ceremony is an exemplary private-sector cooperation case that raises the credibility and maturity of the domestic renewable energy power supply market centered on solar and presents a practical solution of stable, long-term power supply to domestic corporations," adding, "Hyundai Engineering & Construction and Topsla will continue to expand cooperation in various areas, including renewable energy development and support for RE100 implementation, to lead the advancement of the national energy sector."
Since entering the power brokerage transaction business in 2023, Hyundai Engineering & Construction has supported the renewable energy transition of major domestic corporations, including Hyundai Motor Group companies, based on its know-how in building and operating generation projects. In particular, it has pursued development of an automated power purchase agreement (PPA) IT platform and virtual power plant (VPP) services, both firsts in Korea, and promoted PPA contracts totaling more than a cumulative 1 GW with domestic generators.
Hyundai Engineering & Construction plans to continue diversifying renewable energy generation sources in line with the government's energy transition policy and the expansion of the renewable energy market. It also plans to work on establishing a virtuous cycle structure for voluntary, private-sector-led PPAs.