Reliability to launch first solar-powered gigafactory to achieve net-zero emissions

Solar panels manufactured in Jamnagar get BIS certification | Photo: Bloomberg

4 minutes of reading Last update: August 11, 2024 | 11:57 AM IST

Reliance Industries Ltd, India’s most valuable company, plans to launch its first solar-powered gigafactory this fiscal year as it transitions to a green path to achieve net-zero carbon emissions from its operations by 2035.

In its largest annual report yet, the company said it aims to launch its first 20GW solar cell production line by the end of fiscal 2024-2025 (April 2024 to March 2025), and then gradually expand to 20GW over the course of 2026.

The Solar Giga Factory will include production of PV modules, cells, wafers and bars, polysilicon and glass in one location. The modules convert sunlight into electricity.

The company also plans to launch industrial production of sodium-ion cells at the MW level in 2025 and pilot the first lithium-ion cells with a capacity of 50 MWh per year in 2026.

Reliance announced in 2021 plans to invest $10 billion over three years to develop a new fuel business based on 100 GW of renewable capacity by 2030. The plan includes setting up four gigafactories for renewable equipment, battery storage, fuel cells and hydrogen in Jamnagar, Gujarat.

“We have made significant progress in establishing the factories that will be part of our integrated solar photovoltaic manufacturing business,” the company said in its annual report. “New Energy will launch its first module and cell production train in fiscal 2025.”

Solar panels manufactured in Jamnagar have been BIS certified.

“In parallel, work on renewable energy development has been initiated and Reliance has been allotted land in Gujarat,” it said. “Our goal is to become the largest renewable energy (RE) developer in India.”

In addition to the launch of the first 20 GW solar photovoltaic module and cell train, the industrialization of sodium-ion cell production at the MW level may also take place in 2024-2025. Next year, the photovoltaic factory is to be gradually expanded to 20 GW, and the battery gigafactory is to start with a pilot run of lithium cells with a capacity of 50 MWh per year.

The company plans to operate a 50 GWh cell production facility in fiscal year 2027 and a 100 GW renewable energy facility by 2030.

The 100GW target will put the company at the forefront of global renewables ambitions, joining the likes of Enel, Iberdrola, as well as oil players TotalEnergies and BP in terms of the scale of its projected capacity expansion.

Reliance said fossil fuels have historically met India’s energy needs. “Structural inefficiencies, coupled with rising fossil fuel costs, have made power expensive for commercial and residential customers—average rates of Rs 10 per kWh (unit).”

Hence, India cannot continue to rely on fossil fuels for its growth, the report said, adding that the use of fossil fuel-based energy increases import dependency and results in foreign exchange outflow.

“Stable and round the clock cost-effective green energy is the need of the hour. India needs to address this issue to sustain its growth trajectory and achieve $32 trillion GDP by 2047,” he said.

Reliance said that over the next 12 months, its focus will be to set up new power plants, operate them efficiently and commence implementation of renewable energy projects.

“At the same time, we would develop a local supply chain to ensure self-sufficiency and reduce dependence on imports,” the release reads.

The company’s goal is to partner with leading global climate technology and product companies and develop a flexible, future-proof business model that can adapt to different technologies to always achieve the lowest life cycle costs and be best-in-class.

Reliance has forged a number of partnerships in the clean energy sector, such as solar and electric mobility, while also pursuing its oil and petrochemical plans. Jamnagar, the world’s largest single-site integrated refinery complex, has two refineries—one focused on the domestic market and a newer one designed exclusively for export—that together can process low-grade crudes and switch between fuels based on prices.

(Only the headline and image of the report may have been edited by the Business Standard team; the rest of the content is automatically generated from a syndicated feed.)

First published: August 11, 2024 | 11:57 AM IST