New CURE law seeks to overhaul Hyderabad’s urban governance

Hyderabad’s urban governance is set for a major overhaul with the Telangana government bringing into force a new law that seeks to integrate property registration, mutation, taxation and civic permissions through a common digital framework, while creating mechanisms to coordinate the functioning of three municipal corporations and key urban agencies.

The Core Urban Region (Integrated Governance) Act, 2026, which replaces the nearly seven-decade-old GHMC Act, came into force on October 2. The law covers the Core Urban Region (CURE) spread over 2,053 sq. km within the Outer Ring Road (ORR) limits across parts of Hyderabad, Rangareddy and Medchal-Malkajgiri districts. The region has been reorganised into the GHMC, Cyberabad Municipal Corporation (CMC) and Malkajgiri Municipal Corporation (MMC).

A CURE Apex Governance Council, headed by Chief Minister A. Revanth Reddy, will provide an institutional mechanism to address issues cutting across municipal boundaries. Representatives of the three corporations, police, Revenue Department, HMDA, Hyderabad Metropolitan Water Supply and Sewerage Board, power utilities, Metro Rail, TSRTC and HYDRAA will be able to deliberate on common urban issues, officials said.

The new framework has been designed against the backdrop of the region’s rapid expansion. The municipal law enacted in 1955 was framed when Hyderabad had a population of about 15 lakh, while the CURE now has nearly 1.3 crore residents. Officials said the region faces growing challenges such as urban flooding, traffic congestion, heat stress, water scarcity, encroachments and fire risks.

One of the major changes is in property administration. Mutation will be initiated automatically after registration, eliminating the need for a separate application. Every property will receive an Integrated Property Identity Code, while property tax, water, sewerage and sanitation charges will be consolidated into a single bill — CURE-1.

The government also proposes a single online portal for municipal services, permissions and licences. Building permissions will be processed online, with applications moving to the next level if the designated authority fails to act within the prescribed period. Deemed approval is also provided for in specified cases.

The law changes the basis of property-tax assessment from annual rental value to Registration Department guideline value. However, the annual increase in tax is capped at 10% over the previous year to prevent a sudden rise in the burden.

A Utility Coordination Committee will coordinate road-cutting works, while a proposed CURE Traffic Management and Road Safety Authority will oversee traffic management and road safety.

HYDRAA will have a statutory role in dealing with encroachments and waste dumping in lakes, nalas, parks and open spaces. The law also provides for a common disaster-management framework and risk-based fire audits for specified buildings.

The legislation further provides for gender-inclusive urban planning and facilities for vulnerable groups, including women, transgender persons, persons with disabilities, children and senior citizens. More than 100 obsolete provisions of the old GHMC law, including taxes on tongas, jatkas, horses, camels and elephants, have also been removed.