What percent of the Indian population has access to the internet? They might be better off giving people in rural areas access before they start messing with speed floors in the rest of the country. Access to the internet in remote areas will only improve their quality of life and education.
Progress can be made side by side. Instead of going all out for 20mbps in cities like Mumbai, etc, they can look to go slow and implement a particular plan and try to make it commonplace in all cities of India. Internet development in rural areas is being done (by companies like BSNL, etc). We are having volunteers in India who are teaching computer education to the rural areas and bringing them into the technology (my granny helps in computer education to the underdeveloped parts of Chennai).