Cabinet Meet on July 2 To Finalise Fee Reimbursement

Hyderabad: Chief Minister A. Revanth Reddy held a Cabinet meeting on July 2 to discuss and decide on fee reimbursement for students, approve the Detailed Project Report (DPR) for Phase I of the Musi rejuvenation project and decide on the future course of action for the Centre’s new VB-G RAM G rural employment programme.

Amid legal uncertainty regarding the implementation of GO 9 issued on June 6, the Cabinet will deliberate and finalize the state’s fee refund policy, including the timeline for releasing funds to students, official sources said.

The decision converted the fee reimbursement scheme to the Direct Benefit Transfer (DBT) model starting from the 2026-27 academic year; Under this model, the refund amount will be transferred directly to eligible students’ bank accounts instead of being released to university administrations; this is a practice that has been in place since the scheme was introduced in erstwhile undivided Andhra Pradesh in 2008.

The policy faced legal hurdles after managements of several private universities approached the Telangana High Court challenging certain provisions of GO 9. They objected to the clause banning 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 paying the pending dues of universities. According to the management, debts in excess of Rs 10,000 crore have accumulated since 2021 during the previous BRS government’s tenure.

The Supreme Court ordered an interim stay on GO 9 and directed the state government to file a counter-affidavit. The matter is expected to come to hearing this week. In this context, the Cabinet is expected to review the legal situation and finalize the revised policy on the implementation of the fee reimbursement scheme.

The government plans to release fee refund amounts to new applicants who submit their applications between April and July by August 15, subject to final policy and regulatory approvals.

Another important agenda before the cabinet is the approval of DPR for Phase I of the Musi rejuvenation project. In the first phase, the government proposes to clean and develop nine kilometers of the Musi River from Himayat Sagar to Bapu Ghat at Langar Houz and 11 kilometers from Gandipet to Bapu Ghat, thus creating an integrated development corridor of about 20 kilometers at the confluence of the streams.

The cabinet will also discuss the future of the Centre’s VB-G RAM G programme, which is set 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, objecting to some provisions. The cabinet is expected to decide whether the state will implement the new program from July or explore alternative options.