HYDERABAD: The state government on Friday introduced the Core Urban Region (Integrated Governance) Bill, 2026, in the Assembly, proposing to replace the 70-year-old GHMC Act, 1955, with a new metropolitan governance framework.
Introduced by Legislative Affairs Minister D Sridhar Babu, the Bill proposes dividing the present Greater Hyderabad Municipal Corporation (GHMC) area into three municipal corporations — GHMC, Cyberabad Municipal Corporation and Malkajgiri Municipal Corporation — under the Core Urban Region (CURE).
The proposed framework seeks to combine metropolitan-level planning with decentralised civic administration and improve coordination among the three corporations, government departments and other urban authorities.
The government said the existing GHMC Act, enacted when Hyderabad had a population of around 15 lakh, contains more than 100 provisions that have become obsolete or redundant. The city and its surrounding urban region now have nearly 1.3 crore residents, with significant expansion in population, geographical spread and economic activity.
The Bill proposes a CURE Apex Governance Council to set regional priorities and coordinate planning and service delivery across the three corporations and other urban authorities. It also provides for a CURE Appellate Authority to address grievances against civic decisions.
A key proposal is to replace the existing annual rental value-based property tax system with a capital value-based system. The government said the change is intended to strengthen the financial position of municipal corporations and improve their capacity to deliver civic services.
The Bill also proposes an integrated digital billing and payment system for civic services.
For the first time in the municipal legal framework, the Bill proposes a policy framework for a night economy, providing for regulated economic and commercial activity beyond conventional daytime hours. It also includes provisions aimed at facilitating business and economic activity within the CURE region.