The inordinate delay in the Central government’s approval for the Hyderabad Metro Rail Phase II project as a joint venture with the State government continues.Despite repeated pleas by the State government for giving its consent to the joint venture, the Union Cabinet which met on Wednesday did not take up the issue. The Cabinet gave its nod for the extension of Ahmedabad metro rail exposing the manner in which the request from Telangana is being treated.Interestingly, the Union Housing and Urban Affairs Ministry has said that the Telangana government submitted the revised proposal to implement seven corridors under the second phase covering 122.9 km with completion cost of ₹38,595 crore on May 5. The matter was still under the appraisal stage, the Ministry said.Responding to an RTI query late last month, the Ministry said that urban transport is a State subject. Planning and development of urban transport system including metro rail is done by respective State governments/Union Territories. The Central government would consider financial assistance to these projects as per extant policy subject to feasibility of the project and availability of resources as and when posed by the State governments/Union Territories.Asked about the proposed central share, funding pattern (50:50 JV or otherwise), international loan / debt component and any conditions imposed by the Central government, the Ministry said: “As the proposal is under appraisal stage, the cost cannot be shared at this stage.”To another query on details of any CAG / internal audits or observations on equity in previous phases or current proposals, it said “no such information is available.” The responses by the Union Ministry came at a time when Chief Minister A. Revanth Reddy-led government has been criticising the Centre for its step-motherly attitude towards Telangana. Published - June 11, 2026 07:48 pm IST
Centre continues to delay approval of HMRL phase-II as joint venture with Telangana government
Union Cabinet skips Hyderabad Metro Phase II approval, highlighting Telangana's ongoing delays.
Telangana's ₹38,595-crore Hyderabad Metro Rail Phase II proposal (122.9 km) awaits Union cabinet approval since May submission; Centre remains in appraisal stage. Prolonged govt delays on capital infrastructure signal state-centre coordination gaps, raising execution risk for enterprises in public-dependent sectors.













