Reliance Industries Ltd has entered into a strategic agreement with Norway’s Nel ASA to source technology for the production of electrolysers.
This marks a significant step towards embracing green energy. The partnership aligns with Reliance’s plans to establish a comprehensive renewable energy business and make a substantial contribution to India’s green energy transition.
Under the terms of the agreement, Reliance has gained an exclusive license to use Nel’s alkaline electrolysers in India and the right to manufacture these electrolysers globally for its own needs. This collaboration with Nel Hydrogen Electrolyser AS, a subsidiary of Oslo-based Nel ASA, is crucial to Reliance’s commitment to becoming a net-zero carbon emissions company by 2035, a target more aggressive than that of any other regional energy company. Green hydrogen, produced by splitting water with clean electricity in an electrolyser, is seen as essential for achieving emission reduction targets. Reliance’s initiative to produce 100 gigawatts (GW) of renewable energy by the end of the decade represents a fifth of India’s national target of 500GW of installed renewable energy capacity by 2030, with solar energy expected to contribute 280GW. The agreement emphasises Reliance’s ability to execute large-scale projects and its substantial investments in technology and innovation.
Reliance is building a multi-gigawatt, fully integrated new energy value chain. This chain, which spans from capturing photons to producing green molecules, aims to provide sustainable energy access at an affordable cost. This green energy business is crucial to India’s green energy revolution. The collaboration with Nel marks a significant milestone in realising this vision. Nel’s advanced and proven technology platform for manufacturing electrolysers, combined with Reliance’s execution capabilities, promises to enhance the growth paths of both companies. Additionally, the agreement allows Nel to procure equipment from Reliance for its own projects, ensuring mutual benefits from the partnership. Nel will continue to serve the Indian market with its other technology platforms not covered by the agreement.
Reliance’s strategic move into the green hydrogen sector underscores its dedication to sustainable energy and innovation. This partnership is poised to significantly impact the renewable energy landscape in India and beyond, setting a new benchmark for corporate commitment to environmental sustainability.
