The Telangana government is planning to auction eligible government lands reclaimed by HYDRAA to boost revenue. Officials are scrutinising dispute-free parcels, while HMDA and TGIIC are expected to conduct phased auctions as part of the State’s broader land monetisation strategy.
Updated On – 4 August 2026, 04:14 PM
Hyderabad: Fresh from controversies involving the excesses of the Hyderabad Disaster Response and Asset Protection Agency (HYDRAA) and its alleged contempt of court orders, the cash-strapped Congress government in Telangana is gearing up to monetise government lands recently reclaimed by the agency. An in-principle decision has been taken to auction eligible parcels, excluding water bodies, in and around Hyderabad through HMDA and TGIIC.
HYDRAA claimed to have reclaimed and protected about 2,665 acres of government land, with an estimated value ranging between Rs 60,000 crore and Rs 90,000 crore. The identified parcels include 317 acres at Gajularamaram belonging to the State Finance Corporation, around 840 acres across Hyderabad, Medchal-Malkajgiri and Ranga Reddy districts, and another 923 acres belonging to the Revenue Department, HMDA and GHMC.
Officials are understood to be examining parcels that are free of legal disputes and are not immediately required for public purposes, with auctions likely to be taken up in phases after further scrutiny.
The financial pressure behind the proposal is evident in the targets being discussed for HMDA and TGIIC, which were reportedly asked to mobilise Rs 1,000 crore each every month. However, the authorities are understood to have expressed reservations, citing the time required for auctions, payments by successful bidders and existing financial commitments.
However, the Cabinet sub-committee on resource mobilisation is learnt to have rejected the explanation and sought a report before the targets are finalised. The decision to auction HYDRAA-protected lands appears to have been taken to meet the target of monetising around 5,000 acres of government land through auctions and long-term leases, which was reported by this newspaper last month.
The proposed sale comes alongside other land monetisation efforts. The government is preparing to auction more than 10 acres at Raidurg’s IT Knowledge City, with a reserve price of Rs 175 crore an acre, potentially yielding about Rs 2,500 crore. Twenty-four Housing Board plots in KPHB Phase 15 are also slated for e-auction, with expected revenue of around Rs 100 crore.
The emerging strategy marks a significant shift in HYDRAA’s approach to government land, from protection and recovery to monetisation. The agency, which was primarily created to safeguard public assets and tackle encroachments, will be turned into a cash cow for the State government.
