Established a 5-5 joint venture between the two companies
Construction of 12 power plants in 6 states
Power supply to 300,000 households per year
Hanwha Energy’s 100% U.S. subsidiary, 174 Power Global, operates a solar power plant in Texas, USA. / Provided by Hanwha Energy
Hanwha Energy builds a large-scale solar power plant in the United States by establishing a joint venture with France Total, a global oil refinery. The plan is to target the US market by combining Hanwha Energy’s preemptively built solar power business capabilities and total capital.
Hanwha Energy announced on the 14th that it has agreed to jointly promote the development and operation of solar power projects in the US market by establishing a joint venture with Total and each investing 50% of each. This is a method in which Total jointly invests in a business right owned by Hanwha Energy’s 100% subsidiary in the US, 174 Power Global, a solar energy business corporation, to establish a joint venture.
174 PowerGlobal has a total of 10GW of photovoltaic power generation (PV) business rights held in the United States. Among them, Hanwha Energy plans to build a 1.6GW solar power plant through a joint venture with Total. The 12 solar power plants that will be installed in six US states are projects worth about 2 trillion won that can supply more than 300,000 households annually.
The establishment of a joint venture was concluded after Total first proposed to Hanwha. Since 2003, Hanwha Group has been jointly operating Hanwha Total, a joint venture between Total and petrochemicals. In line with the era of carbon neutrality, Total is expanding its business from existing petroleum-oriented businesses to new and renewable energy fields such as solar power. Total plans to secure 35GW of renewable energy generation capacity by 2025. For this, it is known that Hanwha Energy, who has extensive experience in the construction of the US solar power plant market, has been selected as the optimal partner. Hanwha Energy develops, constructs, and builds solar power plants through 174 Power Global, Cherriet Energy, which operates a power retail business in Texas, and 174 Power Global Northeast, which operates a commercial and industrial (C&I) solar power generation business in New York. Operating.
Hanwha Energy is a wholly owned subsidiary of H Solutions (formerly Hanwha S&C), which is a wholly-owned three sons of Hanwha Group Chairman Kim Seung-yeon. Even in the aftermath of Corona 19, Hanwha Energy recorded 757.1 billion won in cumulative sales and 78.1 billion won in operating profit in the third quarter of last year thanks to the increasing demand for solar power plants. It exceeded the annual performance in 2019. Last month, Kim Dong-sun, the third son of Chairman Kim, joined Hanwha Energy as a global strategy manager (Executive Vice President).
Hanwha Energy plans to expand the joint development business with Total by additionally transferring the US solar power business to a joint venture. Hanwha Energy CEO Jeong In-seop said, “Starting with this joint venture, we will strengthen strategic cooperation in the US renewable energy market in the future.”
Reporter Kang Kyung-min [email protected]
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