Mumbai : Mukesh Ambani controlled Reliance Industries and global energy major bp on Thursday announced the start of their new Indian fuels and mobility joint venture, Reliance BP Mobility Limited (RBML).
Following initial agreements in 2019, bp and RIL teams have worked closely over the past few months in a challenging environment to complete the transaction as planned. BP has paid RIL $1 billion for a 49% stake in the joint venture, with RIL holding 51%.
Operating under the “Jio-bp” brand, the joint venture aims to become a leading player in India’s fuels and mobility markets. It will leverage Reliance’s presence across 21 states and its millions of consumers through the Jio digital platform. bp will bring its extensive global experience in highquality differentiated fuels, lubricants, retail and advanced low carbon mobility solutions bp and RIL expect the venture to grow rapidly to help meet India’s fast-growing demands for energy and mobility. India is expected to be the fastest-growing fuels market in the world over the next 20 years, with the number of passenger cars in the country estimated to grow almost six-fold over the period. RBML aims to expand from its current fuel retailing network of over 1,400 retail sites to up to 5,500 over the next five years. This rapid growth will require a four-fold increase in staff employed in service stations – growing from 20,000 to 80,000 in this period. The joint venture also aims to increase its presence from 30 to 45 airports in the coming years.
“Reliance is expanding on its strong and valued partnership with bp, to establish a pan-Indian presence in retail and aviation fuels. RBML will aim to be a leader in mobility and low carbon solutions, bringing cleaner and affordable options for Indian consumers with digital and technology being our key enablers” said Mukesh Ambani, Chairman and Managing Director of Reliance Industries Limited.
bp to invest USD 70 million in Green Growth Equity Fund in India
Meanwhile, the global energy major has also announced its intention to invest $70 million in the Green Growth Equity Fund (GGEF) to support growth of zero carbon and low carbon energy solutions in the country. The GGEF is managed by EverSource Capital, a joint venture between Lightsource bp and Everstone Capital, and has invested in businesses like Ayana Renewable Power, Radiance Renewables, GreenCell Mobility and EverEnviro.