The two Telugu speaking states are finally arriving towards an amicably solution regarding the division of assets after three years into bifurcation. Andhra Pradesh and Telangana governments have expressed willingness to divide the assets mentioned in 9th and 10th schedule of the Andhra Pradesh Reorganization Act 2014 in the ratio of 58:42. The employees of the respective institutions of both the schedules will be divided in the same proportions.

The Sheila Bedi Committee appointed by the central government has issued clear guidelines regarding the division of assets and employees of all 91 companies. The two governments agreed to follow the guidelines and have completed the division process of 35 organizations so far.

The Central Government has responded to the problems that came up due to ambiguity on certain issues in the Andhra Pradesh Reorganization Act. Union Home Ministry recently issued clarification some of the companies in the 9th and 10th schedule and pointed out that some of the governing bodies with chairman and managing directors would be shared in the ratio of 58:42. The rest of the institutions belong to the government based on its location.

The Centre in particular has written letters to the Andhra Pradesh and Telangana governments which mentioned that the Buildings, assets, debts, and human resources of the State Road Transport Corporation, AP Agros, Food Corporation and Dairy Development Cooperatives will be distributed in the ratio of 58:42.

Central government said that the majority of the public-sector companies belong to Telangana state, even though Hyderabad is a common capital for ten years. However, as per the Sheila Bedi Committee guidelines Telangana will have to pay the entire stake of the properties to AP.

In the case of higher educational institutions, the Supreme Court has ruled that under Section 53 of the Reorganisation Act, public sector organizations, research centres, universities and self-regulatory bodies have to be divided on population basis. But according to a recent home ministry statement, it clearly stated to divide the governing bodies in the ratio of 58:42.

Key decisions will been taken at the meeting of the Chief Secretaries which will take place soon, to ensure no injustice is done to any state in the distribution of assets. The Chief Secretaries will likely be issuing a joint ruling on the division of the remaining assets soon.