Civil Society Groups Oppose Telangana's Rs 15,000 Crore Hyderabad Metro Takeover Plan

On 25 June 2026, civil society organisations in Hyderabad questioned the Telangana government’s proposed takeover of the Hyderabad Metro Rail from L&T, urging the state to instead prioritize investments in city buses and the Multi-Modal Transport System (MMTS). The groups raised concerns over the financial viability of the takeover and the potential financial burden it could place on Hyderabad Metro Rail Limited (HMRL).

The criticism comes amid the state government's moves to acquire the Metro network. Representatives from various public transport advocacy groups argued that the massive expenditure required for the acquisition could be better utilized to strength alternative, more affordable public transit systems.

D Narasimha Reddy of Citizens for Better Public Transport questioned the government's financial priorities. He pointed out that the state is prepared to spend about Rs 15,000 crore to take over the Metro, yet it does not absorb the losses incurred in operating city buses.

Reddy also highlighted a stark gap in ridership projections. When the Metro project was announced in 2006, officials projected a daily ridership of nearly 16 lakh passengers. However, in 2026, the Hyderabad Metro currently handles only about 4.5 lakh passengers a day, despite substantial investments and the allocation of prime land. He added that Metro fares remain significantly higher than those of city buses and MMTS services.

M Srinivas of the Urban Development Forum compared Hyderabad's bus fleet to other major southern cities. He noted that while Bengaluru and Chennai operate nearly 7,000 city buses each, Hyderabad has only about 2,500 buses in service. He stated that the government's recent announcement to add 50 electric buses to the fleet is inadequate for the city's growing transport needs.

Srinivas also criticized the lack of last-mile connectivity, alleging that the government has failed to provide sufficient feeder bus services to MMTS stations. He urged the state government to work closely with the South Central Railway (SCR) to ensure punctuality and strengthen connectivity to railway stations.

In response, government officials defended the proposed expansion and takeover. They argued that Metro rail cannot be directly compared to buses. Officials stated that increasing the city bus fleet would worsen traffic congestion and strain existing road infrastructure. They also noted that improving MMTS services is highly complex as it requires extensive coordination with multiple decision-making bodies within the SCR.