We were configuring our server and tweaking some system settings. Looks like we made some mistake and when we rebooted, totally lost access to the VPS.
The console access was web based and had issues and we were not able to login.
After struggling for 3 days, Support suggested to destroy the droplet and start from scratch. We can do it because we have not yet started full fledged, but if this were a production server, it would have been disastrous.
The main issue is that Console access
1. Had browser issues.
2. Is useless to get into single user mode.
If we had been able to get into single user mode on our own, we could have solved the problem in 5 minutes and would not have bothered Support.
And it is not that this technology does not exist. We could do it in our earlier providers like Slicehost/Linode.
Therefore would suggest providing console access (may be through SSH and not web) where user themselves can boot into Single user mode and restore the server.