South Korean electrical equipment manufacturer, HD Hyundai Electric & Energy Systems Co., has inked a substantial 78.2 billion-won (US$59.9 million) deal to supply nine extra-high voltage power transformers to Silicon Valley Power, the municipal electric utility of Santa Clara, California. This landmark agreement is poised to significantly bolster the power infrastructure in Santa Clara, playing a pivotal role in the expansion of critical substations. The power transformers, with capacities of 230 kV and 115 kV, are scheduled for delivery by August 2026, marking a crucial milestone for both HD Hyundai Electric and the ongoing modernization efforts in Silicon Valley.
HD Hyundai Electric, a key unit within the diverse HD Hyundai conglomerate, disclosed that these transformative devices are integral to Santa Clara's ambitious plan to invest $4 million over the next decade. This strategic investment aims at revitalizing the city's aging power grid and gradually expanding new substations. The city council of Santa Clara has earmarked this initiative as the fourth-largest public infrastructure project in the United States, underlining the significance of HD Hyundai Electric's role in contributing to the region's technological and infrastructural advancement.
As part of its forward-looking strategy, HD Hyundai Electric expressed optimism about securing additional contracts in the United States. The company's outlook is buoyed by the Biden administration's commitment, announced in 2021, to invest approximately $73 billion in modernizing the country's electricity grid. Notably, HD Hyundai Electric has been making strides in the market, with contracts worth $2.7 billion bagged in the first nine months of the current year, amounting to an impressive 85% of its annual order target of $3.19 billion. This latest achievement solidifies HD Hyundai Electric's position as a key player in shaping the future of the American electrical infrastructure landscape.
