Reliance purchases REC Group, prepares to sustain new module centers in France and US

Oct 11, 2021 07:40 PM ET
  • A subsidiary of Indian corporation Reliance Industries has actually gotten solar module maker REC Group and a 40% stake in EPC as well as O&M services supplier Sterling and also Wilson.
Reliance purchases REC Group, prepares to sustain new module centers in France and US
Image: REC Group

Reliance New Energy Solar is purchasing REC Group from China National Bluestar for US$ 771 million as it seeks to support the Norway-headquartered company expand its solar manufacturing capability to more than 5GW within the next a couple of years.

REC has 2 making facilities in Norway that produce solar-grade polysilicon along with a Singapore plant making PV cells as well as modules that began automation in 2019 and also is expected to raise its outcome by 2-3GW. Reliance will certainly also support the firm in setting up a new 2GW cell and also module facility in France as well as a 1GW module plant in the US.

The new ownership will certainly allow REC to "swiftly boost its range and also much better serve its increasing consumer base", the firm stated.

REC makes a variety of p-type, n-type and heterojunction (HJT) modules. Reliance intends to use the business's modern technology in an integrated solar manufacturing facility that it will set up in the Indian city of Jamnagar with a first capacity of 4GW that could eventually rise to 10GW-- a complex that might likewise be replicated at various other places around the world.

With tasks spanning areas such as hydrocarbon production, petroleum refining and also petrochemicals, Reliance is India's largest private sector firm, with an annual turn over last year of US$ 73.8 billion.

As part of an initiative to end up being internet absolutely no by 2035, Reliance earlier this year revealed a US$ 10.1 billion clean energy plan that will certainly see it aim to support 100GW of solar 2030 as well as established manufacturing plants for PV, battery storage as well as eco-friendly hydrogen.

" Along with our various other current investments, Reliance is currently all set to set up an international range incorporated photovoltaic or pv giga factory and also make India a manufacturing hub," stated Reliance Industries chairman Mukesh Ambani.

Reliance is among the 18 firms that have actually bid to obtain solar manufacturing assistance under India's production-linked motivation plan, according to working as a consultant JMK Research & Analytics, which said "it is highly most likely" that Reliance and also Adani "will certainly be the major PLI recipients" provided their renewables investment plans.

Accompanying the REC procurement, Reliance said its purchase of a 40% stake in Mumbai-headquartered Sterling and Wilson will sustain the conglomerate in its goal of establishing and also enabling as much as 100GW of solar in India by the end of the decade.

Offering EPC solutions mainly for utility-scale solar projects, Sterling and Wilson has greater than 11.4 GWp of plants appointed and also under construction. It likewise provides solar O&M solutions, including for projects built by 3rd parties, and presently manages a portfolio of 8.8 GWp around the world.

Sterling and Wilson's chairman, Khurshed Daruvala, will certainly stay in his duty and lead the company's next phase of development.

Ambani said that with its worldwide existence, engineering understanding as well as experience of performing complex projects, Sterling and also Wilson will come to be a fundamental part of his business's solar worth chain. "This will allow us to deliver our comprehensive, end-to-end environment resulting in cost-efficient eco-friendly energy for Indian consumers."