Village Level Entrepreneurs behind India’s rural energy revolution

New Delhi: Village Level Entrepreneurs (VLEs) are the unseen force behind India’s rural energy revolution, distributing more than 58 lakh LPG cylinders in FY25 from 22,443 Common Service Centres (CSCs) nationwide. Their contribution to last-mile connectivity has been instrumental in India reaching an unprecedented benchmark—over 100 per cent LPG penetration in both urban and rural homes.

Union Minister of Petroleum and Natural Gas Hardeep Singh Puri, after a review meeting with the ministry top brass in New Delhi on Tuesday, praised the role of VLEs, terming them “the backbone of our rural energy ecosystem.” This ground-level chain, he stressed, has helped overcome complicated logistical hurdles, especially in far-flung and backward regions.

India’s LPG growth is significantly due to the Pradhan Mantri Ujjwala Yojana (PMUY) implemented in 2016 to fill the energy gap.

The scheme has facilitated the issuing of more than 10.33 crore free LPG connections to economically poor families since its launch. Minister Puri underlined its transformative impact, noting that it has not only improved public health by reducing exposure to smoke from biomass but has also empowered rural women by freeing them from traditional, unsafe cooking methods.

The growth is striking. LPG coverage has risen from 62 per cent in 2016 to more than 100 per cent now, and active connections have crossed 33 crore—a 135 per cent rise from 14 crore in 2014. This expansion has been aided by a huge dealership network that has grown to 25,570 outlets across the country, ensuring fuel supplies even in the remotest areas of the nation.

According to steps taken to make consumers more convenient, the ministry is considering a portability policy that enables customers to change distributors within oil marketing companies (OMCs) without altering their LPG connections. The move, which is still under consideration, is intended to increase competition and enhance service delivery standards.

India’s LPG revolution has brought multiple dividends. Public health has been enhanced by a reduction in respiratory disease caused by indoor air pollution. Environmentally, the transition away from biomass has lowered carbon emissions, supporting India’s climate pledges. Economically, the CSC-VLE model of delivery has generated rural employment, driving inclusive growth and community engagement in the clean energy economy.

As universal coverage is now ensured, the attention of the government is turning to cutting the price of LPG and curbing the diversion of subsidized cylinders. Minister Puri signaled that digital monitoring and improved surveillance systems would come into place in order to protect the rights of beneficiaries. Future plans might include linking with renewable energy programs, such as bio-LPG projects, in order to create a more sustainable and diversified energy basket.

However, there are challenges. Officials cited the vagaries of global LPG prices and the importance of continued public education regarding the use of safe LPG.

The ministry is cooperating closely with state-owned oil companies to stabilize prices and increase grassroots awareness campaigns, especially in newly reached rural areas.

Reasserting the government’s focus on energy security, Puri characterized the transition of India from 62 per cent to universal coverage as a success of strategic policymaking. He added that India’s LPG delivery model could be a model for developing nations aiming to achieve energy equity, environmental sustainability, and economic empowerment.