The health and the environmental impacts of the use of biomass, including firewood, crop residue and dried animal dung, as cooking fuel are well-known. According to the World Health Organization, household air pollution was responsible for an estimated 3.2 million deaths annually in 2020, including over 2,37,000 children under the age of five. The combined effects of ambient and household air pollution are associated with 6.7 million premature deaths each year.
To mitigate indoor air pollution and its associated health hazards, the Government of India has encouraged households to transition from traditional fuels to clean cooking fuels, primarily liquefied petroleum gas. To increase LPG penetration among economically poor and marginalised households in rural areas, the Central government launched its flagship programme, the Pradhan Mantri Ujjwala Yojana, in May 2016. The PMUY, which aims to popularise clean cooking among Indian households, also aligns with India’s commitment to achieving Sustainable Development Goal 7.
There has been a massive expansion in the provision of LPG connections after the launch of PMUY. The ministry of petroleum and natural gas reports that household LPG coverage reached an impressive 99.8% in 2021-22, reflecting the scheme’s success in increasing access. However, concerns remain about whether this increase in LPG connections translates to the actual use of clean cooking fuel among Indian households as many continue to use alternative fuels depending on the type of food being prepared. Data from the Multiple Indicator Survey 2020-21 provide important insights into this issue. According to the survey, 62% of Indian households reported using LPG as their primary cooking fuel. However, stark disparities persist between urban and rural sectors, with 90.2% of urban households using LPG compared to only 49.6% of rural households.
The rise in the provision of LPG connections underscores the impact of PMUY, particularly in rural areas where LPG use was previously limited. An analysis of various National Sample Surveys reveals that in 1993, only 1.9% of rural households used LPG as their primary cooking fuel, compared to 29.6% in urban areas. By 2014, these figures had risen to 18.4% in rural areas and 75% in urban areas. After the introduction of PMUY, LPG usage increased significantly, reaching 49.6% in rural areas and 90.2% in urban areas by 2021-22. Since urban households already exhibit high rates of LPG usage, our analysis will primarily focus on rural households where the use of LPG as the primary source of fuel for cooking is much lower.
The affordability of LPG for rural households is a significant concern as it involves ongoing expenses for refills. At present, the price of a 14.2 kilogramme LPG cylinder is approximately Rs 850. Under PMUY, eligible beneficiaries receive a direct subsidy of Rs 300 per cylinder, up to 12 refills per year. This effectively reduces the cost of an LPG cylinder to around Rs 550 for PMUY consumers. If a household requires one 14.2 kg cylinder per month to fully transition to LPG, the expenditure per capita would be about Rs 160 per month without subsidy and around Rs 100 per month
with subsidy.
Estimates from the Survey on Household Consumption Expenditure 2022-23 show that for the poorest 10% of rural households with subsidy, LPG bills account for around 6% of the household’s total monthly per capita expenditure. Without subsidy, this figure increases to 10%, making it more burdensome. For the poorest 50%, the expenditure is 4.2% with subsidy and 6.7% without subsidy. While these percentages do not seem excessively high, they can still represent a significant portion of a low-income household’s budget.
For rural households where LPG is not the primary cooking fuel, firewood, chips, and crop residue serve as the main sources of fuel, with 46.7% of rural households relying on them. These traditional kinds of fuel are generally collected for free, whereas LPG requires a significant financial outlay. Therefore, the issue is not only about affordability but also about the accessibility and sustainability of traditional fuels, which are more readily available at no cost.
It is generally observed that wealthier households adopt modern services and technology more rapidly. Public policy efforts aim to make these services accessible to poorer segments of society as well. According to estimates based on the 78th round of the NSS, among the poorest 20% of households (lowest consumption quintile), only 32.5% use LPG as their primary cooking fuel. In contrast, the wealthiest quintile (richest 20%) reports the highest usage, with 66.7% of households using LPG as their primary cooking fuel. However, a deeper analysis of the data reveals that housing conditions and access to basic amenities significantly influence the adoption of LPG as the primary cooking fuel. By categorising rural households based on housing structure and access to basic amenities, stark differences in LPG adoption are evident between advantaged and disadvantaged households.
The proportion of households using LPG as their primary cooking fuel is nearly three times higher in pucca houses (56.6%) compared to kutcha houses (21.1%). This disparity is greater than the difference between the wealthiest and the poorest households in terms of LPG use. For semi-pucca houses, the adoption rate is 22.3%, similar to that of kutcha houses. Among households with access to mass media (internet, newspapers, magazines, radio and television), 59.7% use LPG, compared to just 25.3% for those without such access. Similarly, households with a consistent and sufficient water supply throughout the year are more inclined to use LPG, with 58.3% opting for LPG, compared to 38.7% of households without a reliable water supply. Among households with toilet facilities, 55.5% use LPG, while only 27.3% of households without toilet access use LPG. A similar trend is observed for bathroom facilities: 64.8% of households with bathrooms use LPG, compared to just 24.7% of those without bathrooms, making LPG usage 2.6 times higher in households with such amenities. Lastly, kitchen arrangements further highlight the disparity: households with a separate kitchen and access to tap water exhibit an LPG usage rate of 82.9%. In contrast, this rate drops to 55.4% for households without tap water in the kitchen and further declines to 36.6% for those without a separate kitchen.
These findings underscore a strong correlation between housing conditions, access to essential amenities and the adoption of LPG. The availability of basic amenities plays a crucial role in determining a household’s likelihood of transitioning to LPG. Therefore, efforts to promote LPG usage should extend beyond simply providing connections and subsidies. It is essential to focus on improving the overall household environment, particularly among underprivileged communities. Enhancing amenities such as separate kitchens, access to water, and sanitation facilities can significantly increase LPG adoption rates. By addressing these factors, the goal of achieving universal LPG adoption becomes more attainable, ultimately leading to improved living conditions and better health outcomes for millions of Indian households.
Vachaspati Shukla is Assistant Professor at the Sardar Patel Institute of Economic and Social Research