MMTS Free Travel Rejected | Hyderabad, June 5: The Railway Board has rejected the Telangana government’s proposal to introduce free travel on MMTS services in Hyderabad, citing heavy financial losses and pending dues as key reasons for the decision.
The proposal was planned for implementation from June 2 as part of a commuter welfare initiative aimed at easing travel costs for the public.
The Railway Board communicated its decision through an official letter, stating that the MMTS system is already under significant financial stress and cannot sustain additional burden without full compensation from the state government. It also clarified that the proposal cannot be considered unless Telangana agrees to bear 100 percent of the financial liability arising from fare losses.
MMTS Free Travel Rejected citing financial losses
Officials highlighted that MMTS operations are currently incurring an estimated annual loss of around 160 crore rupees. They also pointed out that nearly 490 crore rupees in dues related to MMTS projects are still pending from the Telangana government.
The board maintained that while public welfare schemes are welcome, they must be supported by clear financial planning and long-term sustainability measures. It warned that free travel without reimbursement would further strain suburban rail operations and affect service quality in the long run.
MMTS remains a crucial transport lifeline for Hyderabad and Secunderabad suburban commuters, especially those travelling from IT corridors such as HITEC City and Gachibowli, as well as routes connecting Lingampally, Secunderabad, and surrounding residential zones. The system is widely used by office workers, students, and middle-class daily passengers due to its affordability and accessibility.
The decision has triggered discussion among commuter groups and policy observers in Hyderabad, as MMTS was seen as a potential model for affordable urban mobility reform.
The Railway Board also reiterated that any future subsidy or concession-based travel scheme must include formal financial guarantees from the state to ensure uninterrupted operations and maintenance of services.
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