Ambani forecasts $0.5 trn green energy exports

Asia Economic Dialogue

- Emission-free energy can't happen overnight

- India's dependence on coal and imported oil will continue for next 3 decades

- Meanwhile, need to follow low-carbon and no-carbon strategies

- Technology will help lower costs of new and clean energy

New Delhi: As India shapes its energy transition to cleaner fuels, billionaire Mukesh Ambani on Wednesday said technological advancements will make India a global new energy leader, exporting half a trillion dollars worth of clean energy in two decades.

Ambani, who is helming a transition to green hydrogen production at its oil-dominant conglomerate, said India is today one of the most attractive opportunities for renewable energy (RE) investment anywhere in the world. But the transition to clean, emission-free energy can't happen overnight and India's dependence on coal and imported oil will continue for the next 2 to 3 decades, he said. "But, we must have a plan to eliminate that in the next 2-3 decades," he said. "Hence, in the near and medium-term, we will have to follow low-carbon, and no-carbon strategies of development." And technology will help lower the costs of new and clean energy, he said speaking at Asia Economic Dialogue.

Ambani said the climate crisis is an existential crisis and energy transition will determine geopolitical transition in the 21st century. Europe overtook India and China to emerge as the world leader when wood was replaced with coal. Similarly, with the emergence of oil, the US and West Asia outgrew others.

"When India becomes not only self-sufficient in green and clean energy, but also a large exporter, it will help India emerge as a global power," he said. This transition will create green jobs as well as result in massive foreign exchange savings. As a nation that is more than 85 per cent dependent on coal and oil for its energy needs, India has put its focus on making electricity generated from renewable sources such as solar and wind a bulk of its power usage and replacing polluting fuel with carbon-emission free hydrogen. It has unveiled a new policy to use renewable electricity to split water to make hydrogen, which can be used as fuel in an array of industries - from refineries to steel plants and can be used as an automotive fuel as well. While the last two decades saw India's emergence as an IT superpower; the next 20 years will mark its emergence as a superpower in energy and life sciences, Ambani, who is the chairman and managing director of Reliance Industries Ltd (RIL), said.

"I have absolutely no doubt that India can, and India will emerge as a global New Energy leader," he said. India is amongst the first in the world to announce hydrogen pumps. "While the world is still grappling with this, we have put our vision of exporting Green Energy out of India on the table," he said adding India will not only be self-sufficient in energy, but can also export green energy. This will be aided by proactive and forward-looking policy support and action by both central and state governments, assured financing options and young entrepreneurs. "I foresee at least 20-30 new Indian companies in the energy and tech space which will grow as big as Reliance, if not bigger, in the next 10-20 years," he said.

It took Reliance about 15 years to become a $1 billion company, 30 years to reach $10 billion, 35 years to become a $100 billion company and 38 years to touch $200 billion. "India's technology and digital exports have risen to $150 billion from less than $10 billion 20 years ago.

How Energy Transforms Economy

- Europe overtook India and China to emerge as world leader when wood was replaced with coal

- Emergence of oil helped the US and West Asia outgrew others

- Today, energy transition will determine geopolitical transition in 21st century

RIL's Growth Trajectory

$1bn in 15 yrs

$10bn in 30yrs

$100bn in 35 yrs

$200bn in 38yrs