Central Government approves five new urban projects for Telangana

A significant decision has been taken by the Central Government for the development of urban infrastructure in the state of Telangana. Five new projects in the state have been approved by the National Apex Committee (NAC) under the Centre's Urban Challenge Fund (UCF). The total value of these projects amounts to ₹3,892 crore. Information regarding this was provided by Municipal Administration and Urban Development (MA&UD) Secretary T.K. Sreedevi. These approvals were granted during the fourth meeting of the NAC held in New Delhi on Tuesday, November 3, 2026.

The largest among the approved projects is the Godavari Drinking Water Supply Project of the Hyderabad Metropolitan Water Supply and Sewerage Board (HMWSSB), for which ₹1,992 crore has been allocated for its second and third phases. Additionally, a project worth ₹1,465 crore has been approved to comprehensively upgrade the stormwater drainage system in the Greater Warangal Municipal Corporation (GWMC) area. The primary objective of these projects is to improve urban resilience, strengthen water and sanitation infrastructure, and conserve heritage sites.

Three other projects also received the green light at this meeting. These include ₹209 crore for the restoration and development of the Warangal Fort moat, ₹169 crore for the Hanamkonda Central Business District (CBD) project, and an integrated heritage, tourism, and urban rejuvenation project worth ₹57.5 crore for the Alampur temple town. All these projects were proposed by Telangana Chief Minister A. Revanth Reddy, with the aim of creating sustainable development hubs across the state.

In the four meetings of the NAC held so far, projects worth a total of ₹9,573 crore have been approved for Telangana. Among the projects approved in previous meetings, the ₹4,674.6 crore Greater Warangal Comprehensive Underground Sewerage System (UGSS) project was the largest, which will bring a major improvement to the city's sanitation system. Furthermore, ₹840 crore for the Karimnagar Urban Transformation Project and ₹160 crore for the Khammam AI-CCC project were approved.

Innovative financial methods will be adopted for the implementation of these projects. T.K. Sreedevi stated that Public-Private Partnership (PPP), Hybrid Annuity Model (HAM), and institutional loans will be utilized in these projects. This will reduce the burden on public finances and accelerate project implementation. As per estimates, an investment of approximately ₹4,886 crore in these projects will come through loans and the PPP model. The Central Government's contribution will be over ₹1,500 crore, while ₹2,393 crore will be contributed by the state government and local bodies.