A subsidiary of Indian conglomerate Reliance Industries has acquired solar module maker REC Group and a 40% stake in EPC and O&M solutions provider Sterling and Wilson.
Reliance New Energy Solar purchases REC Group from China National Bluestar for US $ 771 million, with the aim of helping the Norway-based company increase its solar power generation capacity to over 5 GW over the course of two to three coming years.
REC has two manufacturing plants in Norway that produce solar grade polysilicon as well as a plant in Singapore manufacturing photovoltaic cells and modules which began mass production in 2019 and is expected to increase production by 2 to 3 GW. Reliance will also support the company in setting up a new 2 GW cell and module factory in France and a 1 GW module factory in the United States.
The new property will allow REC to “rapidly increase its size and better serve its growing customer base,” the company said.
REC manufactures a range of p-type, n-type and heterojunction (HJT) modules. Reliance plans to use the company’s technology in an integrated solar manufacturing facility it will set up in the Indian city of Jamnagar with an initial capacity of 4 GW that could eventually grow to 10 GW – a complex that could also be reproduced in other places in the world. .
With activities spanning areas such as hydrocarbon production, petroleum refining and petrochemicals, Reliance is the largest private sector company in India, with annual sales of US $ 73.8 billion l ‘last year.
As part of an effort to become net zero by 2035, Reliance earlier this year unveiled a US $ 10.1 billion clean energy plan that will aim to support 100 GW of solar 2030 as well as set up factories for PV production, battery storage and green hydrogen. .
“Along with our other recent investments, Reliance is now poised to build a massive, globally integrated photovoltaic plant and make India a manufacturing hub,” said Reliance Industries President Mukesh Ambani.
Reliance is one of 18 companies that have applied to receive solar power manufacturing support under India’s Production Incentive Program, according to consulting firm JMK Research & Analytics, which said âit it is highly probable “that Reliance and Adani” are the main beneficiaries of the LIP “. given their renewable energy investment plans.
Coinciding with the acquisition of REC, Reliance said its purchase of a 40% stake in Mumbai-headquartered Sterling and Wilson will support the conglomerate in its goal of establishing and enabling up to 100 GW. solar power in India by the end of the decade.
Providing EPC services primarily for large scale solar projects, Sterling and Wilson has over 11.4 GWp of plants commissioned and under construction. It also provides solar operation and maintenance services, including for projects built by third parties, and currently manages a portfolio of 8.8 GWp worldwide.
Sterling and Wilson chairman Khurshed Daruvala will remain in office and lead the next phase of the company’s growth.
Ambani said that with his global presence, engineering knowledge and experience in delivering complex projects, Sterling and Wilson will become an important part of his company’s solar value chain. âThis will allow us to deliver our complete and end-to-end ecosystem leading to profitable green energy for Indian consumers. “