Hyderabad Faces Delay Amid Funding Concerns In CRMP Phase II

Hyderabad: The Comprehensive Road Maintenance Program Phase II in Hyderabad remains stalled, with uncertainty over funding and administrative restructuring delaying approval of the long pending proposal.

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CRMP Phase II in Hyderabad under cloud

The second phase of CRMP Phase II in Hyderabad has been under government review for nearly eighteen months. However, no final clearance has been granted so far. Officials said the state government has indicated it will not provide direct funding for road maintenance works. Instead, the Greater Hyderabad Municipal Corporation has been advised to mobilize funds on its own.

Earlier, GHMC raised a loan of Rs 1,400 crore for the first phase. A similar borrowing route now appears unavoidable for CRMP Phase II in Hyderabad.

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Under the proposed plan, 1,142 kilometres of major city roads will be maintained at an estimated cost of Rs 3,825 crore. The scope includes road resurfacing, footpaths, central medians, kerb painting, lane markings, and greenery works.

In 2018, road maintenance covering 811 kilometres was entrusted to private agencies for five years at a cost of Rs 1,839 crore. That phase was also executed using bank loans due to the absence of government grants.

The delay is also linked to plans to reorganise GHMC. The government is considering merging 27 urban local bodies, increasing wards from 150 to 300, and splitting GHMC into three corporations. Officials indicated that CRMP Phase II in Hyderabad may be cleared only after the new corporations are formed.

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GHMC’s financial position has added to the challenge. Over the past decade, the civic body borrowed Rs 6,880 crore for various projects. Although Rs 1,500 crore has been repaid, the outstanding debt stands at Rs 4,717 crore. Monthly repayments of principal and interest are close to Rs 150 crore.

Assembly records show that while Rs 1,025 crore was allocated to GHMC in the past decade, only Rs 460 crore was actually released, further straining civic finances.

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