Reliance Industries chairman Mukesh Ambani is all set to invest multi-billion dollars in the renewable energy business space. According to him the motive behind the investment is to transform the ongoing energy domain using wind, solar, hydrogen, and fuel cells. In India, the energy sector has a huge potential to create abundant affordable green energy. As per him beyond “oil to chemicals” is the key to restructure the Green business. Apart from it Ambani also highlighted his vision of creating reliance as one of the top energy companies by 2035. Watch this video to know more about Ambani's plan:
The reliance industries are yet to unveil their strategies regarding the same. We have to wait till October for further news. But it is expected that the strategy will include all organic and inorganic opportunities hidden in the energy business.
Fuel share in India comprises of thermal power energy being most dominant at 64%. Renewable energy stands at 22% followed by hydro and nuclear with 13% and 1% respectively.
The Indian govt is planning future energy share based on criteria as envisaged by national Determined Contributions. It functions under the ambit of the United Nations Framework Convention on Climate Change (UNFCCC) obligations. This is referred to as the Paris Agreement.
India has devised a plan to reduce emission intensity by 33-35% till 2030 as compared to the 2005 levels. The successive plan is to increase the share of non-fossil fuel electricity by 40%. The renewable energy capacity stands at 86GW and steps are taken to take it at 175GW by 2022 and 450 GW by 2030. All necessary steps will be taken to increase consumption share by 20% until 2025 as compared to the ongoing 10%. Govt plans to build 178GW of solar and wind power by 2025 with a cost of Rs. 893100cr to boost the production of clean energy. Ample focus will also be given on its utilization and distribution at an affordable cost.
Mukesh Ambani in a virtual meeting indicated his plan regarding energy business while addressing the annual general meeting held on 15 July 2020.“Transforming our energy business to tackle one of the biggest challenges before India and the world is our new growth opportunity. On successful implementation of this strategy, we target to become net carbon-zero by 2035,” he said. The 15-year vision of building Reliance as a new energy company will be implemented through a platform company “in a worldwide collaborative model”. “ This model envisages a large coalition of global financial investors, reputed technology partners and start-ups working on futuristic solutions,” he said.
The new energy business based on the principle of carbon recycles and circular economy is a multi-trillion opportunity for India and the world. It is also an opportunity to make clean and green energy abundantly available at an affordable price to every Indian, every Indian enterprise, and every Indian utility,” he added.