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Cash-strapped Telangana Congress government seeks return or compensation for unused CPSU land

Telangana urged the Centre to return or compensate for over 7,000 acres of unused CPSU land. Minister D Sridhar Babu raised the issue with Union Minister Kumaraswamy, demanding guidelines to prevent transfer of these lands to private entities without consultation

By Telangana Today

Published Date - 25 June 2025, 10:17 PM

Cash-strapped Telangana Congress government seeks return or compensation for unused CPSU land — Telangana Industries Minister D Sridhar Babu. File Photo

Hyderabad: The cash-strapped Congress government is now eyeing thousands of acres of prime land lying idle across various Central Public Sector Enterprises (CPSUs) established in Telangana.

Industries and IT Minister D Sridhar Babu has sought the Centre’s urgent intervention to either restore these lands to the State government, establish new industries, or at the very least, offer fair compensation.

In a meeting with Union Minister for Heavy Industries HD Kumaraswamy in New Delhi on Wednesday, Sridhar Babu highlighted that over 7,000 acres allotted to central PSUs decades ago at highly subsidised rates have become dead assets.

Many of these units, including HMT, IDPL, Hindustan Cables, HFL, CCI, and the Ordnance Factory, have ceased operations, leaving vast tracts of valuable land unutilised.

The Minister alleged that some CPSUs have been transferring these prime properties to private entities without consulting the State government or offering due compensation.

“This is not just a financial loss for the State, but a betrayal of public interest,” he said, urging the Centre to frame clear guidelines to preserve such lands for public or developmental purposes. He asserted that as Telangana continues to grow, these lands must serve the people.

Kumaraswamy assured Sridhar Babu that the matter would be treated with urgency and promised to convene a high-level meeting to explore possible solutions.

Unused CPSU lands in Telangana