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As the world's fourth-largest consumer, India's energy demand is experiencing strong growth, driven by multiple factors. The country's fast-growing economy, rapid urbanisation, and industrialisation are creating a significant need for energy across various sectors. As incomes shoot up and lifestyles transform, we are witnessing a surge in demand for energy-intensive appliances, vehicles, and other modern conveniences. India’s per capita energy consumption is 1/3rd of the global average. China’s consumption is 4.4x of India and Korea is 9.5x of India. With India expected to become the third-largest economy in the world, its per capita energy consumption will witness a significant rise.
Additionally, government initiatives towards infrastructure development, rural electrification, and promotion of clean energy are further giving energy consumption a leg-up. This continued growth in demand positions the energy sector as a compelling investment opportunity. We believe that there is potential for significant upside as companies cater to the expanding energy needs of the nation.