Telangana Extends Layout Regularisation Scheme Discount Through July

The Telangana government has decided to extend the 25 per cent discount on Layout Regularisation Scheme (LRS) fees through July 31, providing applicants with additional time to regularise unauthorised layouts across the state.

The extension comes after the scheme's revenue generation fell well below projections. While state officials had anticipated Rs 10,000 crore in collections, actual receipts have reached only approximately Rs 2,000 crore over several months of implementation.

The concession will remain available from May 1 through July 31 for property owners seeking to regularise unauthorised layouts. Municipal Administration and Urban Development Special Chief Secretary Jayesh Ranjan formalised the decision through GO MS No.131 issued on Wednesday.

The scheme has drawn substantial interest, with over six lakh applicants initially paying fees. However, following verification by irrigation, revenue, and town planning officials, only around two lakh applicants received final proceedings.

Since its launch, the LRS has received 26.15 lakh applications statewide. Officials rejected 6.04 lakh applications, while fee intimation letters were issued to 20.11 lakh applicants. To date, 6.26 lakh applicants have paid the required charges.

Revenue collections have demonstrated significant fluctuation. Prior to the discount announcement on February 20, 2025, the government had accumulated Rs 114.73 crore. Following the introduction of the 25 per cent rebate, collections surged to Rs 1,402.02 crore in March.

However, momentum declined substantially thereafter. April collections totalled Rs 353.17 crore, followed by Rs 119.84 crore in May. By mid-June, receipts had dropped to just Rs 9.81 crore.

Despite the declining collection trend in recent months, the government opted to maintain the fee reduction and provide applicants with another window to complete the regularisation process before the extended deadline.