Skip to content Skip to left sidebar Skip to right sidebar Skip to footer

Tag: #HyderabadMetro

Telangana benefits in Union Budget

Telangana benefits in Union Budget

The Union government will take a decision on releasing funds for Phase II of the Hyderabad Metro Rail project only after the Telangana government concludes its discussions with L&T on the proposed Phase I merger through the designated committee and arrives at a final decision, Union Coal and Mines Minister G. Kishan Reddy said on Sunday.


Speaking to reporters in New Delhi, Union Coal and Mines Minister G. Kishan Reddy said the Telangana government must first clarify its position on Hyderabad Metro Rail Phase I, complete all formalities related to its proposed takeover, and submit a comprehensive Detailed Project Report (DPR) before any financial assistance can be considered.

Mr. Kishan Reddy further stated that the Union Housing and Urban Development Ministry has earmarked ₹28,740 crore for MRTS and Metro Rail projects, assuring that sufficient funds are available to meet the Centre’s share for Hyderabad Metro Phase II once the required conditions are fulfilled.

Benefits to Telangana

Highlighting the benefits extended to Telangana in the Union Budget, the Secunderabad MP said the State’s share in Central taxes has been increased by 13.5%, rising to ₹33,180 crore for 2026–27 from ₹29,280 crore in the previous year.

He described the proposed high-speed rail corridors from Hyderabad to Pune, Bengaluru, and Chennai as a “matter of pride” for Telangana. Additionally, he noted that fertiliser subsidies have been enhanced by nearly ₹7,000 crore.

Mr. Kishan Reddy also pointed out that the TEX-ECO programme would support the development of the Kakatiya Mega Textile Park in Warangal, while a girls’ hostel would be established in every district to benefit students pursuing STEM (Science, Technology, Engineering, and Medicine) courses.

Union Coal and Mines Minister G. Kishan Reddy welcomed the Centre’s proposal on municipal bonds, under which cities issuing bonds worth over ₹1,000 crore will receive an incentive of ₹100 crore. He added that nearly 32 towns in Telangana will continue to benefit from the existing ₹200-crore incentive under the AMRUT scheme.

Mr. Kishan Reddy also said that around 38 lakh micro, small and medium enterprises (MSMEs) in Telangana are expected to benefit from the ₹10,000-crore growth fund announced in the Union Budget. Describing it as a Budget designed for future generations, he said it was focused on long-term development rather than electoral considerations.

Earlier, Telangana BJP president N. Ramchander Rao termed the announcement of high-speed rail corridors from Hyderabad a moment of pride, noting that it further reinforces the State’s position as a national growth engine.

Speaking at the BJP State office after watching the Budget presentation, Mr. Rao described it as a “transformative Budget” that lays the groundwork for a golden era—taking the nation from economic strength to national capability and from uplifting the poorest to achieving inclusive growth.

He said the Budget provides a strong foundation for employment generation, improved agricultural productivity, enhanced purchasing power, and the expansion of quality education and healthcare services. Mr. Rao expressed gratitude to Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman for presenting a people-centric Budget that addresses the needs of all sections of society.

L&T Exits Hyderabad Metro; Telangana Government Assumes Full Control

Hyderabad, September 26, 2025: In a major shift, Larsen & Toubro (L&T) has divested its stake in Phase 1 of the Hyderabad Metro project, clearing the way for the Telangana government to take full control of operations and planning. 

With L&T’s exit, the state administration is now positioned to steer the project unilaterally, manage debt and equity settlements, and fast-track expansion plans under Phase 2, which envisages an additional 163 km of metro lines. 

What Changed & What’s Next

  • L&T’s divestment: The move signals L&T’s withdrawal from the original public-private partnership model for Metro operations in Hyderabad.
  • Government control: Telangana will now oversee all functions (operations, maintenance, expansion) previously managed under the PPP framework.
  • Phase 2 acceleration: With the government at the helm, authorities intend to push forward with the next expansion phase covering 163 km, potentially reducing delays caused by coordination or financial bottlenecks.
  • Debt & equity settlement: A key task ahead is reconciling the financial obligations from the initial contracts and ensuring smooth transition of assets and liabilities.

Implications & Challenges

  1. Greater control, but greater responsibility
     While the government will enjoy full decision-making power, it also bears the full burden of cost, risk, and execution challenges that come with large urban transit projects.
  2. Speed vs. capacity
     Fast-tracking expansion is positive for city mobility, but the government must ensure it has the technical, managerial, and financial capacity to sustain high standards in safety, service, and maintenance.
  3. Stakeholder coordination
     Transitioning from a PPP model to a fully government-run system means reworking contracts, staffing, equipment maintenance, and integration with existing systems.
  4. Public expectations
     Commuters and city planners will be watching closely: delays, operational glitches, or service quality dips could invite criticism and erode public trust.

Outlook

With L&T’s exit, Telangana has a unique opportunity to reshape Hyderabad’s metro future under its own vision and timetable. If it manages the financial transition and execution well, the city could see faster expansion and more integrated urban mobility. But missteps in execution or oversight could weigh heavily.

Would you like me to also write a short “citizen impact” version — how this affects daily commuters — or pull in expert voices (real or hypothetical) to enrich the blog?

Source:Deccan Herald