Govt lifts ban on changes in gram panchayats

Vijayawada: The state government lifted the long-standing ban on the bifurcation and reorganisation of gram panchayats (GPs) across the state, paving the way for structural changes in rural and semi-urban governance. The order will remain in force until further instructions are issued.

The move is expected to ease the process of dividing major gram panchayats, upgrading large GPs into nagar panchayats and merging several rural bodies with urban local bodies (ULBs) such as municipal corporations, municipalities and nagar panchayats. This is likely to accelerate urban expansion and streamline governance in fast-growing regions.

Panchayat raj and rural development commissioner V R Krishna Teja had earlier requested the government to lift the existing ban to enable administrative restructuring. Acting on the request, department principal secretary Sashi Bhushan Kumar issued GO. Ms No 97 on Thursday, formally removing the restrictions.

The restrictions on reorganisation were originally imposed in 2001, allowing exemptions only in Scheduled Areas. After the state bifurcation in 2014, additional limitations were added in various stages.

In 2020, ahead of the first ordinary elections to panchayat raj institutions, the government reinforced the ban to halt all forms of GP restructuring — such as upgradation into nagar panchayats or municipalities and mergers with neighbouring municipal bodies — along with the prohibition on bifurcation and reconstitution.

According to the latest order, the government stated that it had examined the issue in detail and found merit in resuming the restructuring process to meet administrative requirements. The commissioner of panchayat raj and rural development has now been directed to proceed with the necessary steps to process pending proposals and initiate new ones based on local needs.

Officials said the decision is likely to enhance the efficiency of local governance, particularly in areas experiencing rapid population growth and urbanisation. The move is expected to help streamline service delivery, improve resource management, and strengthen grassroots administration across the state.