India's cumulative infrastructure spending will exceed 2.5 trillion dollars by the year 2031, industrialist Gautam Adani highlighted on Wednesday stating that the platforms to create several trillion-dollar market spaces are already in place in the country.
At an event organised by CRISIL on 'Infrastructure the catalyst for India's future', the founder chairman of the Adani Group said, “While every nation has its challenges, I can confidently state that India's real growth is yet to come. The platform to create several trillion-dollar market spaces is already in place. Our estimates show that by FY32- India is targeted to become a 10 trillion-dollar economy.” India is headed to realise its goal of becoming a USD 10 trillion economy by the Financial Year 2031-32, Adani said.
He said that India's energy sector will play an important role in infrastructure development and around one-fourth of the total infrastructure spending in the coming years will be utilised in the energy sector and energy transition. "The cumulative spend on infrastructure will exceed 2.5 trillion dollars. About 25 per cent of this entire spending is expected to be on energy and energy transition" said Adani.
He highlighted that the green electrons will emerge as the major drivers of India's economic growth. Green electrons produce electricity from non-emitting sources largely wind and solar. They traverse wires to reach the end-user and may be stored in batteries for future deployment. He said that the Adani group will produce the cheapest green electrons in the world to sustain the growth of several sectors.
"The availability of green electron will be the primary driver of a nation's economic progress, and in my opinion the market for the green electron as of now has no growth limits. We will produce the world's least expensive green electron that will become the feedstock for several sectors that must meet the sustainability mandate" said Adani. The industrialists compared the growth momentum of India after the liberalization and said that governance is the most important catalyst for infrastructure sector growth post-2014.
"If the period between 1991 to 2014 was about putting down the foundations and building the runway, then the period between 2014 and 2024 has been about the aircraft taking off, the single most important catalyst enabling this take off has been the quality of governance over the past decade," he said.