Congress Government Reverses Course on Hyderabad Mega Corporation Plan
In a significant policy shift, the Congress government in Telangana has abandoned its ambitious proposal to expand the Greater Hyderabad Municipal Corporation (GHMC) into a unified mega civic body. Nearly two years after announcing the plan to merge municipalities, municipal corporations, and gram panchayats within the Outer Ring Road (ORR), the administration is now moving towards division, opting to create two additional corporations—Cyberabad and Malkajgiri—alongside a restructured GHMC.
Political Pressure Drives the U-Turn
Sources indicate that the reversal followed sustained pressure from ruling party MLAs, particularly those from Rangareddy district, and from the All India Majlis-e-Ittehadul Muslimeen (AIMIM). Over the past two to three months, as the government began ward delimitation and zone restructuring, these groups voiced strong opposition to the original consolidation model.
Several Congress MLAs reportedly conveyed to Chief Minister A Revanth Reddy and senior party leaders that a large, unified corporation would limit their political influence. They argued that smaller corporations would involve relatively junior officers, offering greater accessibility and better leverage in administrative decisions. Additionally, MLAs felt that leadership positions such as mayor and chairperson would be more attainable for their supporters in smaller civic bodies, a prospect deemed unlikely in a mega corporation.
Taxation and Identity Concerns Emerge
Concerns over taxation also played a pivotal role in the policy change. Legislators warned that expanding GHMC into peri-urban and rural areas would lead to higher property taxes and civic levies, potentially triggering public backlash and negative electoral consequences. Opposition to the merger was not confined to private discussions; Ibrahimpatnam MLA Malreddy Ranga Reddy openly objected to the proposed inclusion of his constituency into an expanded GHMC without consultation.
Congress MLAs from Rangareddy district expressed apprehension that the district would lose its distinct administrative identity within a vast unified corporation. They highlighted how Rangareddy district lacks a single civic body within the ORR and would become insignificant in an extended GHMC, prompting meetings to address these issues.
AIMIM and BRS Opposition Intensifies
The AIMIM also expressed wariness towards the original unification plan, indicating it would oppose any move disturbing the existing GHMC structure. Even in the current bifurcation or trifurcation exercise, the party insisted that the Old City should neither be divided nor merged with any other corporation. AIMIM floor leader Akbaruddin Owaisi criticized the government in the assembly, labeling the delimitation and expansion process as arbitrary and unilateral.
The Bharat Rashtra Samithi (BRS) joined the opposition, initially objecting to the merger and now to the division. Quthbullapur MLA KP Vivekanand opposed unification, citing fears of higher taxes in areas that remain largely rural despite being within 50 to 60 kilometers of the city. Medchal MLA Ch Malla Reddy earlier stated in the assembly that smaller civic bodies in his region were merged without adequate consideration.
Original Vision for Unified Development
The original proposal aimed to create one of the largest municipal corporations in the country, streamlining governance and urban planning under a single administrative structure. It envisioned ensuring uniform and planned development for Hyderabad's population of approximately 1.30 crore, addressing infrastructure and civic issues cohesively. However, with the new approach focusing on division, the government is pivoting towards a model that prioritizes political manageability and localized control over grand consolidation.
This marked U-turn underscores the complex interplay of political dynamics, administrative concerns, and public sentiment in shaping urban policy decisions in Telangana.
