Telangana Minister Outlines Plans for RTC Merger and Student Welfare Initiatives
In a significant announcement, Transport and Backward Classes Welfare Minister Ponnam Prabhakar has reaffirmed the Congress government's commitment to merging employees of the Telangana State Road Transport Corporation (TGSRTC) with the state government. Speaking during a discussion on grants for the transport department in the legislative assembly, the minister stated that the government is awaiting a committee report to proceed with the merger, emphasizing that this move aims to secure the future of RTC workers.
Financial Reforms and Profitability in RTC
Prabhakar criticized the previous Bharat Rashtra Samithi (BRS) government for neglecting the corporation, highlighting that accumulated losses from 2014 to 2023 amounted to a staggering Rs 12,750 crore. He detailed that the current administration is implementing numerous reforms to transform the RTC into a profitable public-sector unit. Notably, after the introduction of the Mahalakshmi scheme, the corporation turned profitable, with an operating profit of Rs 954.86 crore recorded in the financial year 2025-26 up to February 2026.
Financial liabilities remain a concern, however. As of February 28, the RTC's total liabilities stand at Rs 9,722 crore, which includes bank loans of Rs 2,791 crore and employee dues totalling Rs 6,931 crore. In 2023-24, the RTC earned a profit of Rs 104 crore, but in 2024-25, it incurred a loss of Rs 2,848 crore, primarily due to Rs 3,438 crore allocated towards arrears pending since 2017 for employees.
Electric Bus Expansion and Denial of Rumors
The minister addressed rumors about the introduction of electric vehicles, firmly dismissing claims that they are intended to shut down the RTC. "There is no truth to rumors that depots are being privatised due to electric buses, and no employee will be laid off because of them," Prabhakar asserted. He clarified that all bus operations and maintenance, including those of electric buses, will remain under the full control of RTC depots.
Under the Centre's PM e-Drive initiative, all diesel buses in Hyderabad are set to be replaced with electric ones by December 2027, aligning with the state government's policy. Hyderabad has been allocated 2,000 e-buses under this scheme, with 200 buses assigned under Tender-11. Currently, the RTC has placed an order for 500 electric buses in Hyderabad on a Gross Cost Contract (GCC) basis, of which 401 are operational in the city, with plans to introduce the remaining 99 by May 2026.
Additionally, since 2019, 40 electric buses have been operating from various locations in Hyderabad to Rajiv Gandhi International Airport (RGIA). In 2023, orders were placed for 510 electric buses for district and interstate services on a GCC basis, with these buses already running on routes from Hyderabad to Vijayawada, Nizamabad, Karimnagar, and Warangal.
Backward Classes Welfare and Student Support
Shifting focus to welfare schemes, Prabhakar announced that the government has allocated Rs 12,511 crore for Backward Classes (BC) welfare programs. This decision follows a caste survey revealing that the BC population in Telangana constitutes 56%. The minister emphasized the government's dedication to the social, educational, livelihood, and economic advancement of backward and economically disadvantaged classes in the state.
For the upcoming academic year, a groundbreaking initiative has been unveiled: the distribution of a 'Student Welcome Kit' to all residential school students on the day schools reopen. This comprehensive kit will include:
- Textbooks and notebooks
- Uniforms, bed sheets, carpets, towels, and blankets
- Shoes, socks, school bags, belts, ties, and ID cards
- Stationery kits, tracksuits, PT dresses, and night dresses
- Plates, glasses, bowls, spoons, trunk boxes, or travel bags
- Approximately 20 other essential items
Furthermore, for the next financial year, plans are in place to modernize the kitchens of Gurukul schools to enhance nutrition and facilities for students.
Allegations Against Previous Government
Prabhakar alleged that the previous BRS government neglected nutrition and education in BC residential schools. In contrast, he claimed that the Congress government, upon assuming power, has significantly increased diet charges and improved quality nutrition and education for millions of students. "From 2014-15 to 2023-24, over the past 10 years, a total expenditure of Rs 2,947 crore was incurred on BC residential schools by the BRS government, whereas the Congress government alone spent Rs 2,232 crore in just the last two years," the minister added, highlighting the increased investment under the current administration.
These announcements underscore the government's multifaceted approach to reforming public transport, supporting employee welfare, and enhancing educational opportunities for underprivileged students in Telangana.
