The second dimension is the pace of entrepreneurship that India is witnessing. Digitalisation has accelerated this velocity and a digitally enabled India is transforming every aspect of how India operates, lives, and consumes. In the context of the current world, entrepreneurship and digitalization are strongly linked and combine to create a dynamic innovative environment. A digitalized India will transform healthcare, education, and skill development and create a more equitable society.
India’s pace and adoption of digital technologies will create massive – new and innovative market spaces. I fundamentally believe that the next three decades will propel India to the forefront of entrepreneurship. This journey is already well on its way.
Allow me to explain. In 2021, the pace of unicorn creation in India has been the fastest in the world. This will continue and for every unicorn that rises, we will see the birth of dozens of micro-unicorns. In 2021, India added a unicorn every nine days. It executed the largest number of real-time financial transactions globally – a staggering of 48 billion. This was six times greater than the US, Canada, France, and Germany combined. All of this has laid a base for the Fourth Industrial Revolution, where humans and machines are all interconnected. To be then followed by the AI and Web 3.0 revolution where the physical and digital world starts fusing. I expect that – just like India’s internal demand leading to a surge in FDI – the number of start-ups being created will lead to a surge in venture capital investments. VC funding in India first crossed one billion dollars in 2015. This year, VC funding will exceed 50 billion dollars. That is a 50X acceleration in just eight years. India stands as the foremost example of how a smartphone and inexpensive data – powered by aspirations – can create jobs and transform a nation.
The third dimension that will prove to be a powerful transformation lever for India is in the space of Energy Transition. Energy poverty is today the developing world’s greatest challenge, and this gap will need to be mostly filled with renewable energy. While India currently ranks third in the renewable energy attractive index and is the world’s third largest energy consuming country, there is little doubt that India’s energy transition will be unparalleled as it races to meet its energy needs. By 2050, India will need 400% more units of energy than it currently consumes.
While, this may seem challenging, the technology advancements that we are seeing is expected to make this possible. Given the dramatic and continued drop in the cost of renewable energy, especially solar power, the marginal cost of green power is headed to ‘zero’. The ability of this ‘zero’ cost electron to economically split a water molecule and create 100% green hydrogen in the future is now certain. The combination of solar and wind power coupled with green hydrogen opens up unprecedented possibilities for India. I would go as far as to state that the revolution in alternative energy technologies opens up the possibility that, by 2050, India can become a net green-energy exporter. This will also enable decentralized power generation required to accelerate the micro-sizing of any process. It will enable entrepreneurship opportunities across micro- manufacturing, micro-agriculture, micro-banking, micro-healthcare, micro-education — everything that India’s rural population needs for its development. Cooling the planet down will be one of the most profitable businesses and the largest of job creators over the next several decades. I am in no doubt that India will lead the global energy transition. This is why the Adani Group is making a massive investment in driving – not just India’s – but the global energy transition. Over the next decade, we will invest over 70 billion dollars in this space and build the world’s most integrated renewable energy value chain. There can be no greater sign of my confidence in the India growth story.