Reliance looks to replicate Jio playbook in clean energy push

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Reliance Industries Ltd’s new energy business is aiming to replicate its disruptive telecom strategy in the energy sector, with an integrated clean energy ecosystem that spans manufacturing, storage, and green fuels.

“Like how Jio revolutionised and democratised data... we are looking to provide the same energy revolution for our country,” Karan Suri, Senior Vice President, New Energy, said in a post-earnings call on July 18.

The company stated that it is establishing an integrated clean energy value chain, which will involve implementing deep-tech artificial intelligence in its factories.  The business will cover high-efficiency solar modules, batteries, green hydrogen, green ammonia, sustainable aviation fuel and round-the-clock renewable power generation.

"The entire construction (of module, cell, polysilicon and battery manufacturing) is effectively 44 million square feet of the space, which is nearly four times of Tesla gigafactory at Nevada," he said.

“This is the only end-to-end integrated business owned by a single company across the world, and I can proudly say that,” Suri said, adding that the entire system is being built with smart factories and digital-first processes.

“One of the key reasons for us to get into New Energy is obviously to provide the energy security at an affordable cost for our entire group as well as for India’s growing energy requirements to sustain its economic growth,” he added.

The conglomerate’s first solar gigafactory is expected to be operational next quarter. “We have already started equipment moving, both dry room as well as clean room equipment and in the next quarter we will start commissioning our cell manufacturing.”

Reliance also expects the ecosystem to bring down energy costs for group companies. “It will reduce the power cost and the energy consumption bill for various Reliance Group customers by at least 25%,” he said.

“For us, new energy is effectively our next growth engine,” Suri said. “It will become a self-funded business through profitability and monetisation… and offer a multi-decadal growth opportunity.”