Cabinet Meet on July 2 To Finalise Fee Reimbursement
Cabinet to review GO 9 Musi Phase-1 DPR, VB-G Ram G
Hyderabad: Chief Minister A. Revanth Reddy has convened a Cabinet meeting on July 2 to deliberate and decide on fee reimbursement for students, approve the Detailed Project Report (DPR) for Phase-I of the Musi rejuvenation project and decide the future course of action on the Centre’s new VB-G RAM G rural employment programme.
Official sources said the Cabinet will deliberate on and finalise the state’s fee reimbursement policy, including the timeline for release of funds to students, amid legal uncertainty over the implementation of GO 9 issued on June 6.
The order converted the fee reimbursement scheme into a Direct Benefit Transfer (DBT) model from the 2026-27 academic year, under which the reimbursement amount will be credited directly into the bank accounts of eligible students instead of being released to college managements, a practice that has been in place since the scheme was introduced in the erstwhile undivided Andhra Pradesh in 2008.
The policy has run into legal hurdles after several private college managements approached the Telangana High Court challenging certain provisions of GO 9. They objected to the clause prohibiting institutions from collecting tuition fees from students at the time of admission and also opposed the provision directing the government to transfer fee reimbursement directly to students without first clearing pending dues to colleges. According to the management, arrears exceeding `10,000 crore have accumulated since 2021 during the previous BRS government's tenure.
The High Court has granted an interim suspension of GO 9 and directed the state government to file its counter-affidavit. The matter is expected to come up for hearing later this week. Against this backdrop, the Cabinet is expected to review the legal position and finalise a revised policy on the implementation of the fee reimbursement scheme.
The government is planning to release fee reimbursement amounts by August 15 to fresh applicants who submit their applications between April and July, subject to the final policy and legal clearance.
Another major agenda before the Cabinet is the approval of the DPR for Phase I of the Musi rejuvenation project. Under the first phase, the government proposes to clean and develop a nine-kilometre stretch of the Musi River from Himayat Sagar to Bapu Ghat at Langar Houz and an 11-kilometre stretch from Gandipet to Bapu Ghat, creating an integrated development corridor of about 20 kilometres where the streams converge.
The Cabinet will also discuss the future of the Centre's VB-G RAM G programme, which is slated to replace the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) from July 1. The Telangana government is yet to notify the implementation of the new scheme, having raised objections to certain provisions. The Cabinet is expected to decide whether the state should implement the new programme from July or explore alternative options.
