Kishan Reddy hits back at Telangana CM over Hyderabad Metro Phase 2 delay

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Kishan Reddy hits back at Telangana CM over Hyderabad Metro Phase 2 delay

Synopsis

Union Minister Kishan Reddy turned the tables on Telangana CM Revanth Reddy, arguing that the DPR for Hyderabad Metro Phase 2 is still incomplete and that the state's own decision to prioritise loan repayment over Metro maintenance is the real source of the funding crisis — not Centre interference.

Key Takeaways

Kishan Reddy on Tuesday called Telangana CM A.
Revanth Reddy's allegations of Centre interference in Hyderabad Metro 'false propaganda.' The DPR and feasibility reports for Hyderabad Metro Phase 2 have not yet been submitted to the Centre, according to Kishan Reddy.
The Centre has already released ₹1,250 crore for Phase 1 of the Hyderabad Metro.
Kishan Reddy denied blocking ₹13,600 crore in IRFC refinancing, saying the state's choice to prioritise loan repayment over operations created the maintenance shortfall.
The minister also sought clarity from the CM on alleged coal accounting irregularities at Singareni Collieries , following representations from employees' unions.

Union Minister for Coal and Mines G. Kishan Reddy on Tuesday flatly rejected allegations by Telangana Chief Minister A. Revanth Reddy that the Centre is deliberately stalling approvals and funds for the Hyderabad Metro Rail project, calling the charges 'false propaganda.' Speaking at a press conference in New Delhi, the minister argued that the state government's own financial decisions and incomplete paperwork are the real bottlenecks.

What Kishan Reddy Said

The Union Minister, who is also the Lok Sabha member from Secunderabad, stated that the Detailed Project Report (DPR) — along with the technical and financial feasibility report for Phase 2 of the Hyderabad Metro — has not yet been submitted to the Centre. He maintained that without these documents, approval cannot be processed, and that the responsibility lies squarely with the state.

On the question of Phase 1, Kishan Reddy noted that the Centre had already released ₹1,250 crore for the first phase and dismissed any suggestion that it was withholding support. 'The BJP has no culture of stalling projects. The Congress party may have such a culture,' he remarked.

The IRFC Loan Dispute

Chief Minister Revanth Reddy had alleged that Kishan Reddy was blocking the release of ₹13,600 crore from the Indian Railway Finance Corporation (IRFC) for term loan refinancing of Phase 1. The Union Minister rejected this charge and offered a counter-explanation rooted in financial management.

According to Kishan Reddy, the Urban Development Ministry had advised that all revenue generated through ticket sales and advertisements should first be directed toward Metro operations and maintenance, with loan repayment to follow from the surplus. However, the Telangana government chose to prioritise loan repayment over operational costs — a decision he said creates a recurring maintenance shortfall, forcing the state to borrow every month just to keep the Metro running. He called on the state to revise its financial structure accordingly.

Singareni Collieries Allegation

Kishan Reddy also addressed his letter to Chief Minister Revanth Reddy regarding alleged irregularities at Singareni Collieries. He clarified that he was not characterising it as a 'coal scam,' but said he had received representations from employees' unions and political parties in Telangana alleging that coal production figures were being reported without corresponding output on the ground. 'I have asked the Chief Minister to provide clarity in this regard,' he said.

The Broader Political Context

The dispute is the latest flashpoint in an escalating war of words between the Bharatiya Janata Party (BJP)-led Centre and the Indian National Congress (Congress)-governed Telangana over infrastructure funding and project execution. Kishan Reddy accused both the previous Bharat Rashtra Samithi (BRS) administration and the current Congress government of lacking genuine commitment to the Metro project. He asserted that the Centre has been working for Telangana's development for 12 years and needs no endorsement from the state government. The political temperature over Hyderabad Metro is likely to rise further as Phase 2 planning remains incomplete and the state and Centre continue to trade blame.

Point of View

If accurate, is damaging to the state's narrative. But the Centre's silence on a timeline for IRFC clearance leaves its own motivations open to question. The Singareni letter adds a political edge that suggests this is as much about electoral positioning ahead of local body polls as it is about infrastructure. Hyderabad's commuters, caught between two governments trading accusations, are the ones paying the price.
NationPress
5 Aug 2026

Frequently Asked Questions

Why is the Hyderabad Metro Phase 2 approval delayed?
According to Union Minister G. Kishan Reddy, the Detailed Project Report (DPR) and the technical and financial feasibility report for Phase 2 have not yet been completed by the Telangana government and submitted to the Centre. Without these documents, the Centre says it cannot process approval.
What is the dispute over the ₹13,600 crore IRFC loan for Hyderabad Metro?
Telangana CM Revanth Reddy alleged that Kishan Reddy is blocking the release of ₹13,600 crore from the Indian Railway Finance Corporation for Phase 1 loan refinancing. Kishan Reddy denied this, saying the problem stems from the state's decision to use ticket and advertisement revenue to repay loans first, leaving insufficient funds for Metro operations and maintenance.
How much has the Centre already released for Hyderabad Metro Phase 1?
The Centre has released ₹1,250 crore for Phase 1 of the Hyderabad Metro Rail project, according to Union Minister Kishan Reddy.
What are the Singareni Collieries allegations about?
Kishan Reddy said he received representations from employees' unions and political parties in Telangana alleging that coal production at Singareni Collieries is being reported without corresponding output on the ground. He wrote to CM Revanth Reddy seeking clarification, but clarified he was not calling it a 'coal scam.'
What did Kishan Reddy say about the BJP's approach to infrastructure projects?
Kishan Reddy stated that the BJP has no culture of stalling projects and asserted that the Centre would extend the same cooperation to Hyderabad Metro as it has to metro projects elsewhere in the country, provided the state addresses the pending technical and financial requirements.
Nation Press
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