Hyderabad: The Telangana government has proposed an allocation of Rs 17,677 crore for the municipal administration and urban development department in the state budget for 2025-26, which was tabled by deputy chief minister Bhatti Vikramarka in the Assembly on Wednesday, 19 March.
Presenting the budget, Bhatti Vikramarka highlighted the state government’s H-CITI plan to strengthen urban infrastructure and efficiently manage traffic congestion. As part of this initiative, 31 flyovers, 17 underpasses, and 10 road expansion projects, with an estimated investment of Rs 7,032 crore, have been undertaken in Hyderabad, along with Rs 150 crore allocated for beautification projects.
He also mentioned the construction of sewage treatment plants at the Osman Sagar and Himayat Sagar reservoirs, with a total capacity of 20 MLD. Additionally, these reservoirs will be replenished with Godavari waters as part of the Musi Riverfront Development Project.
To mitigate urban flooding, the government has approved an Integrated Stormwater Drainage Project with an investment of Rs 5,942 crore.
He also introduced the Future City project, which the state government aims to develop under the newly established Future City Development Authority (FCDA).
“This next-generation city will feature multimodal connectivity, an electric public transport network, and green buildings, making it India’s first net-zero Future City. It will include specialised zones such as an AI City, Pharma Hub, Sports City, and Clean Energy Innovation Zone, positioning it as a global hub for technology, industry, and sustainable development,” he said.
Additionally, he discussed the SPEED (Smart, Proactive, Efficient, and Effective Delivery) initiative, which aims to fast-track the completion of 19 key projects within a stipulated timeframe. These projects include the Musi Riverfront Development, Metro rail expansion, Regional Ring Road construction, Telangana Bhavan construction in Delhi, the new Osmania General Hospital building, and the implementation of anti-narcotics strategies.
What the MA&UD Budget Outlines
Of the total estimated budget:
- The total establishment expenditure is Rs 7,639.96 crore, which includes loans of Rs 3,085 crore for water supply and sanitation, and Rs 1,200 crore for urban development.
- The total scheme expenditure is estimated at Rs 10,037 crore.
- A total capital outlay of Rs 5,213.67 crore has been allocated for municipal administration and urban development.
- Assistance to local bodies, corporations, urban development authorities, and town improvement boards is estimated at Rs 4,701.92 crore.
Key Budget Allocations
- Vaikuntha Dhamams – Rs 75 crore
- Hyderabad Disaster Response Assets Monitoring and Protection Agency – Rs 100 crore
- Musi Riverfront Development – Rs 1,500 crore
- Old City Metro connectivity – Rs 500 crore
- Airport Metro connectivity – Rs 100 crore
- Multi-modal suburban rail transport system – Rs 50 crore
- Future City Development Authority – Rs 100 crore
- Quli Qutub Shah Urban Development Authority – Rs 63.37 crore
- Yadagirigutta Temple Development – Rs 200 crore
- Vemulawada Temple Area Development Authority – Rs 100 crore
- Mahabubnagar, Mancherial, Kothagudem, and Palwancha municipalities/corporations – Rs 754.70 crore
- Integrated vegetable and meat markets – Rs 100 crore
