Archive · 22 Jan 2026
Hyderabad's LRS Scheme Fails to Meet Revenue Expectations
The Hyderabad government had a plan to fix old building problems and make money by letting people pay to make their buildings legal.
They thought they would make a lot of money, about 3,000 crore rupees, but only made 14 crore rupees.
They sent letters to many people, but most didn't respond.
Some people hoped the prices would go down, and others didn't have the right papers.
Now, those who didn't pay might have trouble selling or building on their land.
The Hyderabad government expected to raise Rs 3,000 crore from the Layout Regularisation Scheme (LRS) but only collected Rs 14 crore.
Out of 15.54 lakh applications, only 2.08 lakh were approved and paid the required fees.
The scheme's deadline was extended multiple times, with the final deadline being June 30, 2024.
Reasons for low response include hopes for further rate decreases, prohibited lands, and lack of required documents.
Applicants who did not regularise their plots will face difficulties in obtaining building permissions, bank loans, and property registration or sale.
- Who
- Hyderabad state government and applicants for layout regularisation
- What
- The Layout Regularisation Scheme (LRS) failed to meet revenue expectations
- When
- The scheme was launched in 2020, with the final deadline on June 30, 2024
- Where
- Hyderabad, India
- Why
- Low applicant response due to various reasons, including hopes for further rate decreases and lack of required documents
- Expected Revenue
- Rs 3,000 crore
- Actual Revenue
- Rs 14 crore
- Total Applications
- 15.54 lakh
- Approved Applications
- 2.08 lakh
- Initial Deadline
- March 31, 2025
- Final Deadline
- June 30, 2024
- Urban Local Bodies
- 149
- GHMC Merged ULBs
- 27
