Telangana taps CSR, PPP funds for assembly seats, new platform to connect MLAs, corporates | Hyderabad News

Constituency Development and Sustainability Bridge (CDSB)

Hyderabad: In a bid to unlock private investment and CSR funding for local development without burdening the state exchequer, the Telangana govt has launched a new constituency-focused initiative that will bring together corporates, philanthropists, non-profits and local legislators to fund and execute development projects.To promote public-private partnership and build-operate-transfer models and attract greater corporate funding under corporate social responsibility (CSR), the Telangana govt has proposed a new programme, the Constituency Development and Sustainability Bridge (CDSB), for undertaking development works in assembly constituencies.Under the programme, a non-profit foundation will be established in each constituency to identify local development needs in consultation with the MLA concerned. The foundation will mobilise resources from private companies through CSR funding, trusts, foundations, philanthropists and members of the diaspora to execute projects. Officials said the scheme will not impose any financial burden on the govt. Similar initiatives have already been implemented in neighbouring Andhra Pradesh and some other states.As a pilot project, the programme will be rolled out in five constituencies: Kodangal, represented by chief minister A Revanth Reddy, Vikarabad, Nalgonda, Manthani and Madhira. The legislative assembly and legislative council entered into an MoU with Expression of Equity Interest in Public and Private Partnerships (EQUIPPP) Social Impact Technlogies Ltd last month, following which the govt issued orders for implementation in the five constituencies.The state is currently implementing the Constituency Development Plan (CDP), under which each MLA is allocated ₹10 crore annually. However, allocations are made based on recommendations of the respective MLAs, with the in charge minister serving as the sanctioning authority. Officials noted that the CDP is limited in scope and that many works are delayed due to funding constraints.Under the new MLA-focused CDSB model, projects can be taken up through non-profit foundations without dependence on state funds. For example, skill development programmes can be implemented with support from partner organisations, even though such initiatives are not covered under the existing CDP framework.Assembly secretary Rendla Thirupathi said that under the scheme, a foundation would be created in each pilot constituency by EQUIPPP under section 8 of the Companies Act.“These foundations will act as platforms for cross-sector collaborations and will be transferred to the govt upon achieving the targets,” he said. He said the foundations would function as independent non-profit institutions dedicated to facilitating collaborative development and sustainability initiatives in individual constituencies.The MLAs of the respective constituencies will act as brand ambassadors, providing guidance and helping mobilise partnerships while remaining separate from financial and operational administration. The govt has proposed appointing a nodal officer, such as a revenue divisional officer or sub-collector, to coordinate activities.Funds required for projects will be mobilised by EQUIPPP through philanthropic capital, CSR contributions, returnable grants and reimbursement-based structures, ensuring there is no financial liability for the state govt.The programme also proposes the creation of a constituency development exchange platform, through which MLAs can present constituency priorities and development plans to foundations and potential partners.Officials clarified that MLAs will have no role in the financial affairs of the foundations. Officials said that once the pilot phase is completed and evaluated, the programme will be extended to the remaining 114 assembly constituencies across Telangana.