Telangana Cabinet Decides to Take Over Hyderabad Metro from L&T

Out of the total estimated ₹15,000 crore, the government is expected to pay around ₹2,000 crore directly to L&T as part of the takeover arrangement. In addition, the state will assume responsibility for nearly ₹13,000 crore in outstanding debt linked to the metro project.

This means the Telangana government will not only acquire operational control but also take on the long-term financial liabilities associated with the project. Debt servicing and repayment will become the responsibility of the state.

During Cabinet discussions, financial sustainability, revenue performance, and future expansion strategies were reportedly examined in detail. The government believes that direct control could enable better planning and faster decision-making.

A special committee is likely to be formed to oversee the legal and financial aspects of the takeover. This will include reviewing contractual terms, asset transfers, and restructuring of loans with financial institutions.

Political reactions to the decision have been mixed. Supporters view it as a step toward greater public accountability, while critics raise concerns about the fiscal impact on the state treasury.

Following the takeover, expansion plans toward key areas such as the Old City and IT corridors may gain renewed momentum. The government has indicated that commuter services will continue without disruption during the transition.

Though the financial commitment is substantial, experts note that with efficient management and transparency, the move could strengthen long-term urban infrastructure planning. The full roadmap is expected to become clearer after legal and financial procedures are finalized.