Green fuels and AI-based solutions to become long-term growth engines for RIL: Mukesh Ambani

Reliance Industries stock has gained around 18 percent so far this year, beating Nifty's returns of 15 percent during this period. In the past 12 months, the counter has risen 26 percent.

Green fuels and artificial intelligence (AI) based solutions will become long-term growth engines for Reliance Industries Ltd (RIL), said Chairman and Managing Director Mukesh Ambani on August 29 at the 47th annual general meeting (AGM) of the company.

Ambani said, RIL’s new energy business is expected to become as profitable as the company’s oil-to-chemical (O2C) business in the next five to seven years.

He also emphasised that the conglomerate is focused on transforming into a deeptech company and would set up AI-ready data centres in Jamnagar, Gujarat, powered by the company’s green energy.

“I am confident that green fuels and AI-based solutions will become long-term growth engines for Reliance. Overall, the Reliance Group is well on track to more than double in size before the end of this decade and grow faster in the decades ahead. This will further cement our position among the most respected and valuable companies in the world,” said Ambani.

As India advances towards its goal of achieving 500 GW of renewable energy capacity by 2030, RIL is boosting its investments in new energy, aiming to secure a larger share of the growing market. “Our New Energy business will be the new jewel in Reliance's crown. I foresee it becoming as big and profitable over the next 5-7 years, as our O2C business which we had built over the past 40 years,” said Ambani.

Reliance is positioned to grow new businesses around the adjacencies of all company’s established businesses including O2C, retail, Jio, media, and green energy and fuels, said Ambani.

“It has been my privilege to establish, lead, and nurture our five growth engines – O2C, retail, Jio, media, and green energy and fuels. We are uniquely positioned to grow new businesses around the adjacencies of all these growth engines. Today, three of these engines have a valuation of over $100 billion each, and they will continue to grow even faster,” said Ambani.

Jio and Reliance Retail are expected to double their revenues and EBITDA over the next three to four years, he added.