Some solar projects have impacts that reach far beyond the site they power. Terra Firma‘s solar project for the Johannesburg plant of Maxion Wheels, the world’s leading wheels manufacturer, is an excellent example. It comes at a pivotal time for South Africa’s automotive industry, a 100-year-old cornerstone of our economy, now under pressure from trade tariff shocks, soaring electricity costs, decarbonisation requirements and global competition.
A manufacturing plant employee at Maxion Wheels South Africa
A milestone for Maxion Wheels’ 60th anniversary
We’re delighted to share that the 2.9 MWp solar project for Maxion Wheels’ Johannesburg plant is now live! Just in time to celebrate Maxion Wheels South Africa’s 60th anniversary.
The carport and ground mount solar installation will supply approximately 20% of the 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 of 1.6 MWp will be completed in 2026, with further plans to integrate a Battery Energy Storage System (BESS) to provide energy arbitrage and backup power to the facility.
A manufacturing plant employee at Maxion Wheels South Africa
Boosting automotive industry competitiveness and sustainability
South Africa’s automotive industry contributes 5.3% of GDP and supports over 500,000 jobs across the value chain. However, the sector is grappling with serious challenges 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 energy and battery storage offer an accessible solution that enables manufacturers to reduce and manage costs, improve resilience and reduce climate impact.
Focus on engineering precision
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 the plant’s intensive industrial processes, continuous uptime is mission-critical for Maxion. The plant relies on extensive machinery including various robots, integrated foundry systems and automated conveyor networks operating around the clock.
Machinery at Maxion Wheels’ Johannesburg manufacturing plant
For Terra Firma, this meant ensuring continuous power supply while meeting strict health, safety and operational standards at every step of the solar project deployment process.
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.
Reflections from Maxion Wheels’ and Terra Firma’s leaders
Milos Despotovic, Managing Director, Maxion Wheels South Africa: “The 60th anniversary of Maxion Wheels South Africa is an opportunity to celebrate our legacy of manufacturing excellence while looking ahead to how we can continue strengthening our leadership and resilience for decades to come. 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.”
Grant Berndsen, CEO, Terra Firma: “We thank Maxion Wheels for entrusting Terra Firma as their energy partner to bring this project to life. Together, we’re demonstrating how solar power helps enable long-term sustainability, resilience and global competitiveness for South Africa’s automotive manufacturing sector.”
