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Why Telangana’s free MMTS travel plan is stuck over ₹500 crore dues

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Mmts Phase 2 Extension To Yadadri By 2028

HYDERABAD: Telangana government’s proposal to introduce free travel on Multi-Modal Transport System (MMTS) trains has run into hurdles, with South Central Railway (SCR) seeking clearance of nearly ₹500 crore in pending dues, as reported by The Times of India.

In response to the proposal, SCR has asked the state government to settle long-standing payments tied to the MMTS Phase-II project. Railway officials said the dues have remained unpaid for almost a decade.

“SCR reserves the right to determine the number of services to be operated, along with their timings. Facilities at MMTS stations are provided as per extant Railway Board norms. Your attention is invited to the dues payable by the state government,” an SCR official from the commercial department stated in a communication.

Project costs escalate amid delayed payments

The pending dues stand at ₹491.45 crore. The Phase-II project, initially estimated at ₹816 crore, has escalated to about ₹1,150 crore due to delays.

The state government has released around ₹370 crore so far, leaving nearly ₹500 crore unpaid. Under the agreement, the state was to contribute financially, especially for procuring new train sets.

Except for the Lalaguda–Sitaphalmandi chord line, most works under Phase-II have been completed. Railways proceeded with construction using their own resources despite pending state contributions.

Services reduced after pandemic, affecting ridership

MMTS services have declined significantly since the pandemic, with operations reduced from 120 to about 80 daily services. There are no trains operating between 10.00 and 16.00 IST.

Ridership has dropped sharply from around 1.6 lakh passengers to about 45,000. Officials attribute this to the expansion of Metro rail services and free bus travel schemes for women.

Even if free travel is implemented, officials indicated it may not significantly increase usage unless service reliability improves. Current fares range between ₹5 and ₹15, already lower than bus and Metro fares.

Commuters flag unreliable schedules, demand expansion

Commuters cited inconsistent schedules, frequent delays, abrupt cancellations and long service gaps as key reasons for avoiding MMTS.

Suburban commuters have urged authorities to prioritise MMTS as a key urban transport mode. They called for restoring pre-pandemic service levels, resuming midday operations, and improving connectivity to major hubs, including IT corridors.

“Unreliable timings, extended stoppages and last-minute cancellations are major reasons for abandoning the service. Railways must restore services between 10am and 4pm and bring back 120 daily services,” said P Bharadwaj of the Suburban Trains and Bus Travellers’ Association.

He added that only one train currently runs between Charlapally and Hi-Tec City, and more services are required.

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