TotalEnergies has entered into an operating lease agreement for the implementation of a solar photovoltaic project with the South Korean pharmaceutical company Daehwa Pharmaceutical Co., Ltd. The project involves an industrial site of Daehwa Pharmaceutical located in Hoengseong-gun in Gangwon-do Province, east of Seoul, the South Korean capital. The agreement provides for the installation of a photovoltaic system with a capacity of 1.8 megawatt-peak (MWp), with an initial duration set at 20 years. TotalEnergies will fully finance the construction, operation, and maintenance of the solar facility.
Technical details of the photovoltaic project
Under the terms of the contract, the photovoltaic system will consist of more than 2,800 solar modules installed on the rooftops of production buildings. This installation is expected to produce an estimated annual output of approximately 2,300 megawatt-hours (MWh). The generated power will thus cover nearly 20% of the pharmaceutical plant’s current annual electricity consumption. The agreement also specifies that this energy production will avoid approximately 1,000 tonnes of carbon dioxide (CO₂) emissions per year.
Implementation and commissioning schedule
Commercial commissioning of the photovoltaic system is scheduled for the second half of 2025. This timeline is contingent on the completion of various administrative procedures, permits, and construction phases on-site. The two companies expect close collaboration to meet the originally established deadlines and to ensure compliance with local regulatory requirements.
Official statements from executives
Richard Pullen, Representative Director of TotalEnergies Renewables Projects South Korea, stated during the official ceremony: “This agreement constitutes a concrete case of active participation in industrial decarbonisation in South Korea. Through our collaboration with Daehwa Pharmaceutical, we aim to further strengthen our renewable energy activities across the entire Korean territory”.
Eun-Seok Kim, Chief Executive Officer of Daehwa Pharmaceutical, stated for his part: “Through this photovoltaic installation, Daehwa intends to reduce its annual energy costs while significantly cutting its carbon emissions. The integration of environmental, social, and governance (ESG) criteria has become an essential requirement for the sustainable and responsible management of the company”.
