Maxion Wheels investing in solar energy. (Image source: Maxion Wheels)
Maxion Wheels, a leading producer of wheels for passenger and commercial vehicles, has completed a 2.9 MWp solar project at its Johannesburg manufacturing plant
The move reflects a shift in the commercial and industrial (C&I) energy market to renewables and away from traditional thermal based power solutions.
Terra Firma, a South African C&I solar and storage solutions provider, worked on the project, timed which was timed with Maxion Wheels South Africa’s 60th anniversary event.
“Integrating renewable energy into our operations marks a significant milestone in our Roadmap Zero strategy towards net-zero emissions by 2040, and reinforces our position as a global leader in advanced manufacturing,” said Milos Despotovic, managing director, Maxion Wheels South Africa.
The carport and ground mount solar installation will supply approximately 20% of the manufacturing facility’s annual energy needs, reducing Maxion’s reliance on the national grid and providing protection against energy-related tariff increases.
It will also reduce greenhouse gas (GHG) emissions by approximately 5,100 tonnes per year.
A second phase of additional rooftop solar capacity is scheduled for completion in Q1 2026, with the possibility of integrating a Battery Energy Storage System (BESS) for energy arbitrage and backup power.
South Africa’s automotive industry contributes 5.3% of GDP and supports over 500,000 jobs across the value chain.
However, the sector is under increasing pressure due to global trade barriers, growing competition and decarbonisation requirements.
For manufacturers such as Maxion Wheels, where electricity is one of the largest input costs due to energy-intensive processes, managing energy spend is critical to maintaining competitiveness.
Solar power offers a solution that enables firms to reduce and manage costs, improve resilience and reduce climate impact.
As the world's leading manufacturer of steel and aluminium wheels, Maxion Wheels produces approximately 50 million wheels per year across its 31 locations on five continents.
The Johannesburg plant produces high-precision aluminium wheels for major automotive OEM customers in South Africa.
Given its intensive industrial processes, continuous uptime is mission-critical.
The plant relies on extensive machinery including various robots, integrated foundry systems and automated conveyor networks operating around the clock.
For Terra Firma, the project meant ensuring continuous power supply while meeting strict health, safety and operational standards at every step of the deployment.
Under a comprehensive medium-term Power Purchase Agreement (PPA), Terra Firma financed, designed, engineered and installed the project, and will manage and maintain it for its lifetime.
The PPA delivery model offers the cost and GHG emission reduction benefits of solar power, without the capital expenditure or risks of ownership, according to said Grant Berndsen, CEO, Terra Firma.
“We thank Maxion Wheels for entrusting Terra Firma as their energy partner to bring this project to life,” said Berndsen.
“Together, we’re demonstrating how solar power helps enable long-term sustainability, resilience and global competitiveness for South Africa’s automotive manufacturing sector.”
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