Reliance Industries will invest close to Rs 2 lakh crore in its telecom and broadband firm Jio to launch 5G services across India, chairman Mukesh Ambani said in his speech at the company’s 45th annual general meeting on August 29. In addition, the company has committed to spend Rs 75,000 crore over the next five years in its oil-to-chemicals business.
Ambani said that the company will triple its existing capacity in Vinyl by adding factories in Dahej and Jamnagar as well as in the UAE. Further, the polymers capacity would be increased in both Dahej and Jamnagar in phases by 2026, he said.
“Third, consistent with our vision for New Materials, we will build in phases India's rst and one of the world's largest Carbon Fibre plants at Hazira with a capacity of 20,000 MTPA, based on Acrylonitrile feedstock,” he said. The company will also augment its plastic recycling capacity in its efforts to be more environmentally sustainable business. He highlighted that within a year, the consumption of renewable energy at Reliance has jumped 352 percent.
The push towards new energy was visible as also was the stress on boosting existing capacities in its main businesses. “We will also be establishing 20 GW of solar energy generation capacity by 2025. This will be entirely consumed for our captive needs of round-the-clock (RTC) power and intermittent energy for Green Hydrogen. Once proven at scale, we are prepared to double the investment to scale up our manufacturing ecosystem,” he said.
The company will set up a new Giga factory for power electronics. “We are building significant capabilities in design and manufacturing of power electronics and software systems, integrating with our capabilities of Telecommunications, Cloud Computing and IoT platform” Ambani said in his address.
All these are steps towards the company reducing its net carbon footprint to zero by 2035.
Its digital and retail businesses that have grabbed investors’ attention the most: Jio and Reliance Retail, too will have enough dough to spend and expand. The conglomerate’s retail enterprise will launch its fast moving consumer goods (FMCG), the management announces at the AGM.
Its telecom and digital services firm Jio will focus on rolling out 5G services across the country. “Using 5G technology, we can dramatically reduce latency or lag, and deliver breakthrough increases in broadband speed, network capacity, and the number of connected users,” he said.
Unlike other operators that are planning to deploy 5G signal over existing 4G network, Jio will roll out Stand-Alone 5G which does not depend on the existing network infrastructure. “With Stand-Alone 5G, Jio can deliver new and powerful services such as low latency connectivity, massive machine-to-machine communication, 5G voice, Edge computing and network slicing, and metaverse,” he said.
Ambani added that the company will launch 5G services in select metro cities by Diwali. The company aims to connect small businesses, mom and pop shops and other commercial ventures across the country for business using its 5G services to offer its digital solutions.
Ambani stressed that Jio has the advantage over other competitors as the company is the only one that has 700 MHz low band spectrum that is required for deep indoor coverage. This is in addition to the mid-band spectrum of 3500 MHz is earmarked for 5G globally for all players. The company is working globally with mobile phone makers to support its 5G rollout, Ambani said.“By December 2023, which is less than 18 months from today, we will deliver Jio 5G to every town, every taluka, and every tehsil of our country,” he added. The company has built an indigenous platform with cloud services that will host the 5G services.