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Hyderabad's suburban rail expansion under the Multi Modal Transport System (MMTS) Phase II faces delays due to a INR 381 crore funding gap from the Telangana government. While the South Central Railway (SCR) has completed most infrastructure work, the absence of state funds is preventing the purchase of new train rakes needed to start services on newly built sections. Operational tasks like official corridor designation, platform extensions, and train scheduling are still pending. Reduced commuter demand due to Metro expansion and free bus travel for women has further slowed the launch of additional MMTS services.
Hyderabad's planned expansion of local trains under MMTS Phase II has been delayed because of a shortfall in funding from the Telangana government. The South Central Railway (SCR) has completed the majority of the infrastructure, including tracks and station upgrades, but INR 381 crore intended for procuring new train rakes has not been released. This funding gap is preventing SCR from introducing services on several newly constructed sections. Advertisement
SCR had used its own budget to construct tracks and improve facilities, but the project design relied on cost sharing with the state government to buy extra rakes. Each new train rake costs roughly INR 5-6 crore, and without them, regular MMTS services cannot start on critical routes.
In addition to funding delays, SCR must complete official notifications for the Secunderabad Cherlapally line via Moulali as a suburban corridor. Several platforms on newly built stretches still require extension, which is delaying the introduction of additional services. Most of Phase II, except for the Lallaguda Sitafalmandi chord line, is ready for operations but remains unused due to these procedural and financial hurdles.
SCR officials have also noted a drop in ridership compared with expectations. Expansion of Hyderabad Metro services and free bus travel for women have reduced demand, weakening the case for additional MMTS services. Daily commuters have expressed frustration as tracks and stations are in place but trains are still not operational. Many had anticipated improved connectivity to employment hubs such as Hi Tec City and the eastern suburbs, but this has yet to materialize.
The delay in launching services has highlighted the need for coordinated funding and planning between the state and rail authorities. Until the necessary state contributions are released and official notifications completed, the new infrastructure cannot be fully utilized.
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