Reliance buys REC Group, plans to support new module facilities in France and US

Share on facebook
Facebook
Share on twitter
Twitter
Share on linkedin
LinkedIn
Share on reddit
Reddit
Share on email
Email
REC currently manufactures solar cells and modules from a plant in Singapore. Image: REC Group.

A subsidiary of Indian conglomerate Reliance Industries has acquired solar module manufacturer REC Group and a 40% stake in EPC and O&M solutions provider Sterling and Wilson.

Reliance New Energy Solar is purchasing REC Group from China National Bluestar for US$771 million as it looks to support the Norway-headquartered company grow its solar manufacturing capacity to more than 5GW within the next two to three years.

REC has two manufacturing facilities in Norway that produce solar-grade polysilicon as well as a Singapore plant making PV cells and modules that started mass production in 2019 and is expected to increase its output by 2-3GW. Reliance will also support the company in setting up a new 2GW cell and module facility in France and a 1GW module plant in the US.

The new ownership will allow REC to “rapidly boost its scale and better serve its increasing customer base”, the company said.

REC makes 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 that it will set up in the Indian city of Jamnagar with an initial capacity of 4GW that could eventually rise to 10GW – a complex that may also be replicated at other locations around the world.  

With activities spanning areas such as hydrocarbon production, petroleum refining and petrochemicals, Reliance is India’s largest private sector company, with an annual turnover last year of US$73.8 billion.

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 see it aim to support 100GW of solar 2030 as well as set up production plants for PV, battery storage and green hydrogen.

“Together with our other recent investments, Reliance is now ready to set up a global scale integrated photovoltaic giga factory and make India a manufacturing hub,” said Reliance Industries chairman Mukesh Ambani.

Reliance is among the 18 companies that have bid to receive solar manufacturing support under India’s production-linked incentive scheme, according to consultancy JMK Research & Analytics, which said “it is highly likely” that Reliance and Adani  “will be the main PLI beneficiaries” given their renewables investment plans.

Coinciding with the REC acquisition, 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 100GW of solar in India by the end of the decade.

Providing EPC services mainly for utility-scale solar projects, Sterling and Wilson has more than 11.4GWp of plants commissioned and under construction. It also provides solar O&M services, including for projects constructed by third parties, and currently manages a portfolio of 8.8GWp globally.

Sterling and Wilson’s chairman, Khurshed Daruvala, will remain in his role and lead the company’s next phase of growth.

Ambani said that with its global presence, engineering knowledge and experience of carrying out complex projects, Sterling and Wilson will become an important part of his company’s solar value chain. “This will enable us to deliver our comprehensive, end-to-end ecosystem leading to cost-efficient green energy for Indian consumers.”

Read Next

July 4, 2022
The World Bank has approved US$165 million in additional financing to support 450MW of rooftop solar deployment in India and make distributed generation systems in the country more affordable.
July 4, 2022
Norwegian energy data and intelligence company TGS has acquired renewable energy asset and real-time data manager Prediktor.
June 30, 2022
Investor CleanCapital has acquired renewable energy developer BQ Energy, adding 300MW of late-stage solar development to its pipeline.
June 30, 2022
D.E. Shaw Renewables Investments (DESRI) has secured up to US$400 million in new capital finance to support its US renewables strategy.
PV Tech Premium
June 28, 2022
Solar and energy storage were described by Elon Musk as going together “like peanut butter and jelly”. Andy Colthorpe meets some of the players creating this winning combination in the US.
June 28, 2022
Utility-scale renewables developer Intersect Power has secured US$750 million in funding to take its portfolio of renewables, energy storage and green hydrogen projects beyond 8GW.

Subscribe to Newsletter

Upcoming Events

Upcoming Webinars
July 19, 2022
Free Webinar
Solar Media Events
October 4, 2022
New York, USA
Solar Media Events
October 11, 2022
Virtual event