Hyderabad Metro Phase 2: Telangana Government to Auction Prime Plots

The Telangana government plans to auction prime plots to raise funds for the Hyderabad Metro Phase 2 project, aiming to support land acquisition and development of the 7.5 km Old City Metro corridor from MGBS to Chandrayangutta.

Hyderabad: The much-anticipated Metro Rail project in the Old City of Hyderabad is gaining traction as the Telangana government explores new avenues to raise funds. To facilitate land acquisition for the 7.5 km Metro corridor stretching from Mahatma Gandhi Bus Station (MGBS) to Chandrayangutta, the government plans to auction open plots located in the Uppal Bhagayat Layout.

Raising Rs 600 Crore for Land Acquisition

In a bid to raise funds for land acquisition, the state government intends to generate Rs 600 crore through the auction of open plots managed by the Hyderabad Metropolitan Development Authority (HMDA). The total cost of land acquisition for approximately 1,100 properties along the corridor is estimated at Rs 1,000 crore.

Of this amount, Rs 525 crore will be allocated for land acquisition, Rs 150 crore for rehabilitation and resettlement of affected families, and Rs 325 crore for structural compensation. An additional Rs 175 crore will cover costs related to the demolition of structures, utility shifting, and road widening.

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Budget Allocation and Future Auctions

While the state government has already allocated Rs 500 crore in the budget for the Old City Metro Rail project, the remaining funds will be sourced through upcoming auctions. This strategic move will help secure the necessary resources for the completion of the project and ensure smooth land acquisition along the proposed route.

Metro Rail Extension Delays and Challenges

The 7.5 km extension of the Metro Rail, designed to connect key areas like Shalibanda, Falaknuma, and Chandrayangutta, was initially part of the Metro Rail’s first phase. However, the project faced delays due to alignment disputes and challenges with property acquisition. The land compensation rates, which were initially set at Rs 60,000 per square yard, were revised to Rs 81,000 per square yard following intervention by Hyderabad MP Asaduddin Owaisi.

Preserving Heritage and Religious Structures

The Old City of Hyderabad is known for its cultural richness and historical significance, with several heritage and religious sites located along the proposed Metro route. In light of this, the Hyderabad Metro Rail Limited (HMRL) has implemented innovative engineering solutions to ensure that over 100 sensitive structures along the corridor are preserved. These measures aim to avoid any adverse impact on the city’s heritage while facilitating the construction of the Metro Rail system.

With the government’s efforts to raise funds through land auctions and ensure the preservation of heritage sites, the Old City Metro Rail project is moving closer to becoming a reality, promising to enhance connectivity in one of Hyderabad’s most historic areas.