Digital villages help bridge urban-rural clean energy divide

Widening inequality in clean energy access between urban and rural communities remains a major challenge for countries pursuing sustainable development goals. As governments expand renewable infrastructure and digital tools to promote equitable transitions, questions persist over whether such efforts genuinely close the consumption gap or merely deepen existing divides in the short term.

A new empirical study provides critical insights into this issue by examining how digital village development in China affects the inequality of clean energy consumption between towns and rural areas. The study, titled “Whether Digital Villages Can Alleviate Towns–Rural Clean Energy Consumption Inequality in China?” and published in Sustainability (2025), introduces a novel framework for evaluating the long-term role of digitalization in promoting energy equity across geographically diverse regions.

How does digital village development influence clean energy inequality?

The research reveals that China’s digital village construction has a measurable effect on clean energy consumption inequality (CEI) between urban towns and rural areas. Specifically, the analysis uncovers an inverted U-shaped relationship, meaning that CEI initially increases as digital infrastructure expands, before declining once digital systems reach higher levels of integration and efficiency.

This pattern suggests that early stages of digital expansion may disproportionately benefit better-connected or more developed areas, thereby temporarily widening the energy gap. However, as digital infrastructure matures, it promotes improved access to clean energy in rural areas through applications such as smart energy metering, clean cooking technology dissemination, and access to renewable microgrids. The research supports the idea that sustained investment and long-term digital integration are essential for closing the urban–rural energy divide.

The authors highlight the significance of this transition phase, noting that short-term inequality should not be viewed as policy failure but as a predictable stage of technological diffusion. Over time, digital inclusion becomes a leveling force, enabling rural communities to access energy solutions that were previously limited to urban centers.

What mechanisms drive the impact of digitalization on energy equity?

To uncover how digital villages reduce CEI, the study explores two key mediating mechanisms: agricultural technological progress (ATP) and industrial structure upgrading (IND). These pathways explain how digital tools create systemic improvements that indirectly lead to cleaner, more equitable energy use.

Agricultural technological progress plays a central role by improving productivity and energy efficiency in farming. The adoption of precision agriculture, digital soil analysis, and weather forecasting systems enables farmers to reduce reliance on traditional biomass or inefficient energy sources. These improvements contribute to cleaner energy profiles across rural households and farm operations.

Meanwhile, industrial structure upgrading refers to the economic shift from primary industries (such as agriculture) toward secondary and tertiary sectors, facilitated by digital technology. As rural areas adopt digital services and diversify their economies, they tend to rely more on efficient, electricity-based systems and less on polluting fuels like coal or firewood. This transition reduces overall CEI and enhances sustainability outcomes across both environmental and economic dimensions.

The study positions these mechanisms as essential links between digital policy and energy equity. By recognizing the importance of complementary industrial and agricultural reforms, policymakers can ensure that digital village programs yield long-term and inclusive sustainability benefits.

Which regions benefit most from digital village policies?

The effectiveness of digital village initiatives in reducing CEI is not uniform across China. The study’s heterogeneity analysis reveals that certain regional characteristics influence the extent of impact, offering important insights for targeted policy interventions.

Regions with low levels of urbanization, for example, see greater benefits from digital village construction. In these areas, where traditional infrastructure is sparse or underdeveloped, digital tools provide vital access points for clean energy services. Likewise, areas with high terrain undulation, often mountainous or geographically isolated regions, benefit significantly from decentralized digital infrastructure, which is more feasible than centralized energy grid expansion.

Notably, the study also finds that non-clean energy demonstration provinces experience the largest CEI reductions when digital village initiatives are introduced. This underscores the value of digital policies as corrective tools in regions that may lack strong institutional commitments to clean energy. In effect, digitization can serve as a bridge where traditional policy mechanisms have struggled to gain traction.

Based on these findings, the authors argue for geographically differentiated digital development strategies. Rather than adopting a one-size-fits-all approach, government policies should be responsive to local conditions, prioritizing support in regions where digital interventions are most likely to produce equitable clean energy outcomes.