Evaluation of economic efficiency of the Pradhan Mantri Ujjwala Yojana (PMUY) in India
News Article: Pradhan Mantri Ujjwala Yojana (PMUY) Enhances Rural Women's Health and Empowerment
The Pradhan Mantri Ujjwala Yojana (PMUY), a flagship scheme launched by the Indian government in 2016, is making significant strides in improving the lives of rural women and reducing dependence on polluting fuels.
The scheme, published under HT Insight's Governance section, targets 80 million families to receive free LPG (liquefied petroleum gas) connections by 2020. Before its launch, approximately 270 million people in India lived below the poverty line, with 80% residing in rural areas where cooking relied on polluting fuels like coal, firewood, and cow dung. At the time, 64% of the population had no access to clean cooking sources, compared to the world average of 38%.
The PMUY, implemented by the Ministry of Petroleum and Natural Gas, issues gas connections in the name of an adult woman in the household, ensuring a women-centric and inclusive approach. To facilitate this, an initial budget of ₹80,000 crore was allocated, and information dissemination camps were organized to raise awareness and train women in the safe handling of stoves and cylinders. Oil marketing companies provide interest-free loans for stove and gas refill purchases.
The scheme directly targets rural women, who traditionally spend long hours collecting firewood and cooking over smoky fires, exposing them to health risks like respiratory diseases and fire hazards. By providing cleaner fuel, the scheme reduces indoor air pollution, leading to significant health improvements for women and children. It lowers the physical burden and time spent on cooking-related drudgery, thereby empowering women through improved health and freeing time for other activities.
Moreover, the introduction of LPG connections also generates ancillary employment and stimulates economic activity in rural areas. The PMUY aims to create employment opportunities, reduce fossil fuel use, and improve rural women's health.
The cost-effectiveness of the PMUY has been analyzed using WELLBY (Wellbeing-Years) calculations, which measure improvements in overall life quality beyond traditional economic metrics. The analysis shows that the PMUY is a potential benchmark for well-being–driven policy planning, emphasizing its value beyond mere economic inputs and outputs.
In summary, PMUY enhances rural women's health and empowerment by providing clean fuel, reduces dependency on polluting fuels, and demonstrates notable cost-effectiveness measured with WELLBY indicators—highlighting its broad positive socio-environmental impact. Access to the paper requires login. The author of this paper is Radhika Jha.
References: [1] Jha, R. (2021). Pradhan Mantri Ujjwala Yojana: A Cost-Effective Approach to Improve Rural Women's Health and Empowerment. HT Insight. Retrieved from https://www.htinsight.com/governance/pradhan-mantri-ujjwala-yojana-a-cost-effective-approach-to-improve-rural-womens-health-and-empowerment/
- The government of India's Pradhan Mantri Ujjwala Yojana (PMUY) not only improves the health of rural women but also fosters economic growth in rural areas, creating employment opportunities in the business sector, such as those involved in LPG distribution and ancillary services.
- In addition to its positive impact on health and employment, the PMUY's cost-effectiveness, as demonstrated by WELLBY (Wellbeing-Years) calculations, makes it a compelling model for policy planning, blending social, economic, and environmental benefits in a single, powerful initiative.
- With sports like cricket often touted as a source of national pride and financial investment, it would be fascinating to see a similar level of government support and policy creation aimed at promoting women's health and empowerment through initiatives like the Pradhan Mantri Ujjwala Yojana.
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