Hyderabad Metro expansion caught in political crossfire between Congress, BJP, and BRS

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© Adbh266, CC BY-SA 4.0

A sharp war of words has erupted in Telangana politics over the future of the Hyderabad Metro Rail project, with Chief Minister Revanth Reddy accusing the Bharatiya Janata Party-led Centre and Union Minister G. Kishan Reddy of deliberately stalling critical funding and approvals for the metro’s takeover and Phase-II expansion.

The dispute intensified in mid-June when the Telangana government highlighted delays in disbursing a ₹13,500–13,600 crore Indian Railway Finance Corporation (IRFC) loan intended to facilitate the state’s takeover of the existing Phase-I network from L&T Metro Rail Hyderabad. CM Revanth Reddy has repeatedly claimed that Union Minister G. Kishan Reddy is influencing the Centre to withhold the funds, allegedly due to political motivations and alleged ties with the opposition Bharat Rashtra Samithi (BRS).

In a strongly worded open letter and public statements, the Chief Minister urged Kishan Reddy to arrange a meeting with the Union Railways Minister and expedite necessary clearances. He further declared that the state is prepared to execute the ambitious Phase-II project on 100% equity basis without central financial assistance, provided the Centre issues a No Objection Certificate (NOC). Phase-II envisions around seven corridors spanning nearly 123 km at an estimated cost exceeding ₹38,000 crore.

Union Minister G. Kishan Reddy has hit back firmly, dismissing the allegations as ‘false propaganda.’ He attributed the delays to technical and financial concerns, including the state government’s repayment strategy and lack of firm commitments on revenue utilization from fares and advertisements. Mr. Kishan Reddy insisted there is no political vendetta and emphasized that previous governments, including under BRS, also faced hurdles in advancing the project.

Adding fuel to the fire, BRS working president K.T. Rama Rao (KTR) has criticized the Congress government, pointing to CM Revanth Reddy’s multiple visits to Delhi yielding no results on metro approvals. KTR described the situation as a reflection of administrative failure and questioned why other cities have secured metro projects while Hyderabad’s expansion remains stuck.

The Telangana government successfully completed the financial takeover process for Metro Phase-I earlier this year, aiming to improve operational efficiency and pave the way for seamless expansion. However, the current standoff over refinancing and central clearances has put ambitious growth plans on hold, raising concerns among commuters and urban planners about Hyderabad’s rapidly growing transit needs.