In The Race Of Green Energy Dominance Billionaires Mukesh Ambani And Gautam Adani In A New Face-off

Entrepreneurs say industrialist Mukesh Ambani's entry into a renewed ₹10 billion holiday could take solar rates to new heights and spark a bidding war with fellow billionaire Gautam Adani.

The country's two richest men want to be at the forefront of Prime Minister Narendra Modi's ambition to quadruple India's green capacity to 450 gigawatts by 2030. Under pressure from Ambani's flagship Reliance Industries and the Adani Group of companies, she will face the biggest profile. The 64-year-old Ambani has built an extensive empire that includes petrochemicals and textiles, including telecommunications and retail. Mr. Adani, 59, is a self-made billionaire who has focused on power generation, transmission and distribution, and operations of ports and airports.

Mr. Ambani announced last month that he would build 100 gigawatts of solar power over the next nine years. He said his group would spend 10 billion over the next three years to build a solar manufacturing unit, a battery factory for storing wastewater, a fuel cell factory, and a unit to produce green hydrogen.

Three days later, Adani announced that its green energy venture would increase by 5 GW per year over this decade, which is about 3.5 GW from current levels. Analysts say there is room for growth for many companies under India's ambitious goal, but prices could fall further as companies struggle with aggressive language to achieve projects. I'm trying to move forward. In India, the cost of solar panels is already one of the lowest in the world and has fallen below the auction per kilowatt-hour in Gujarat province. "I expect by 2030 (solar prices) to reach 1 per kilowatt-hour by 2030," said Tim Buckley, director of financial optics at the Institute of Energy Economics and Financial Research. Reliance has a history of disbanding rival companies.

Reliance has a track record of dissolving rival businesses. With cheap smartphones and data plans, its telecom venture Jio has ousted market leaders Vodafone Idea and Bharti Airtel from becoming the country's largest telecom operator in five years.

Both Mr. Ambani and Mr. Adani have built businesses based on fossil fuels.

Reliance operates the world's largest refining complex at Jamnagar in Gujarat, while Adani is India's largest coal-fired thermal station and the country's largest coal trader. India is the third-largest producer of greenhouse gases in the world.

Analysts say coal-fired power plants could see a significant drop in the size of green players.  Rishabh Aresta, the chief analyst at consulting firm Wood Mackenzie, said he expects the country's coal production to fall by 70-50 percent by early 2030.

"We expect the cost of building a new coal plant in India to be $62/MWh per hour by 2030, which is 25% more than solar power," he said.

Mr. Adani has not announced plans to build a new thermal power plant, and his companies are unlikely to be affected by the relatively high cost of coal-fired electricity. Analysts say both groups are working to improve their clean energy consent certificates as investors focus more on the environmental impact of their businesses and make decisions based on ESG ratings. Adani Green Energy, one of Mr. Adani's core businesses, currently dominates the renewable space in India. Its shares have gained more than 156% in the last year.

Mr. Ambani wants Reliance to become net carbon zero by 2035, well ahead of the 2050 target set by global oil leaders such as Royal Dutch Shell and BP.

"Reliance will be the most trusted player in the innovation industry in the next two years," Jeffrey said in his remarks.

It will also improve ESG scores, which means getting ESG points from ESG funds globally. If both companies achieve their goals, Reliance's solar power will be 100 GW from Adani's, and the companies together will be the third target in India by 2030. Mr. Adani, who has been criticized for developing and trading coal mines in Australia, said Buckley The organization, which claims to be linked to the Myanmar Medal Forces, needs better endurance. "More needs to be done," he said. Myanmar has joined the military and said it could cancel investments at the port terminal in Myanmar. He said the Australian coal mine had created jobs for the local population, which was important in ensuring energy security.

"Financial markets don't know ESG, so we have to negotiate," Buckley said.