New Delhi: Mukesh Ambani and Gautam Adani have partnered to sell automotive fuels by leveraging each other’s fuel retail networks -- marking the second business collaboration between the two billionaire industrialists.
Ambani’s fuel venture with UK’s BP, Jio-bp, will set up petrol and diesel dispensers at CNG retail outlets of Adani Total Gas Ltd (ATGL). Alongside, ATGL -- the equal city gas joint venture of Adani Group and TotalEnergies of France -- will put up CNG dispensing units at Jio-bp’s fuel pumps, according to a joint statement on Wednesday.
The partnership will cover both group’s existing as well as future outlets.
Jio-bp owns 1,972 petrol pumps across the country while ATGL operates a network of 650 CNG stations in 34 geographical areas.
“Adani Total Gas Ltd (ATGL) and Jio-bp (operating brand of Reliance BP Mobility Ltd) today (Wednesday) announced signing of an agreement to redefine the auto fuel retail experience for Indian consumers.
“Under this partnership, select ATGL fuel outlets will offer Jio-bp’s high-performance liquid fuels (petrol and diesel), while select Jio-bp fuel outlets will integrate ATGL’s CNG dispensing units, within ATGL’s authorised geographical areas (GA), thus enhancing the supply of high-quality fuels to transport consumers,” the statement said.
This is the second time in recent months that the rival billionaires have come together. In March last year, the two had signed the pact for their first-ever collaboration for a power project in Madhya Pradesh.
Ambani’s firm Reliance had picked up a 26 per cent stake in Adani Power’s project in MP and signed to use the plants’ 500 MW of electricity for captive use.
Adani and Ambani, both hailing from Gujarat, have often been pitted against each other in business. The two have also been jostling for the title of Asia’s richest person for the last few years.
With Ambani’s interests spanning oil and gas to retail and telecom and Adani’s focus on infrastructure spanning sea ports to airports, coal and mining, they rarely crossed each other’s path except in the clean energy business where the two have announced multi-billion investments.
Adani is building mega renewable energy parks and has also ventured into solar modules and wind turbine manufacturing. Ambani’s Reliance, too, is building four gigafactories at Jamnagar in Gujarat -- one each for solar panels, batteries, green hydrogen, and fuel cells.
Reliance is also eyeing setting up renewable electricity capacity at Gujarat’s Kavada, the arid land bordering Pakistan where Adani is also building the world’s largest solar park with 30 gigawatts capacity.