Telangana proceeds with plan to relocate polluting units outside city, issues HILTP norms

Telangana government has issued implementation guidelines to operationalise Hyderabad Industrial Lands Transformation Policy (HILTP). The guidelines seek to achieve objective of the policy, of primarily relocating polluting industrial units beyond Outer Ring Road and facilitate conversion of the land thus vacated to multi-use zones. Mooted in November 2025, the policy had faced reservations from a few industries bodies as well as the Opposition BRS. The HILTP, for which a G.O. was issued in November 2025, has been formulated to facilitate relocation of polluting industries in 21 industrial parks and standalone units within the Core Urban Region (CURE) of Hyderabad.

Under the implementation framework, the government, on the recommendations of the Cabinet Sub-Committee, has approved payment of an upfront Development Impact Fee (DIF) of 10% and consideration of existing SRO market rates for applicants submitting their applications on or before 30 June 2026. This was announced on Saturday, in a release, after Minister for Industries and IT D. Sridhar Babu launched a dedicated online portal for receiving applications from eligible industrial units seeking to avail benefits under the policy. The portal enables eligible unit holders to submit, monitor and track their applications online, reinforcing the government’s commitment towards transparent, technology-driven, and citizen-centric governance.

A dedicated support and grievance redressal mechanism has also been established to assist applicants and departmental officials throughout the application process, according to the release. Telangana Industrial Infrastructure Corporation (TGIIC) is the nodal agency for implementation of the policy and according was instructed to come up with operational guidelines. Besides defining the industrial parks and the standalone industrial lands within ORR — which does not include lands allotted to PSUs — the guidelines prescribe Development Impact, documents required to be submitted by the applicant online and the measures TGIIC is required to initiate. Support to shifting units According to the guidelines, the same benefits/ subsidies will be extended to the units which have opted shift under HILTP to the new location; statutory fees and charges for services like electricity/ water connection paid will be adjusted; units which have obtained approval under HILTP for shifting to a new location will be given priority for allotment of industrial plot at Industrial parks outside the ORR.

The units, after obtaining the approval for multi-use conversion of land under HILTP, will be allowed to run the industry/unit in its present location/ park for a maximum of one year.