The change of government in Telangana following assembly polls has cast a shadow on second season of Formula E car race in Hyderabad, as the present dispensation is not evincing any interest in the event, at least for the year.

The Hyderabad E-Prix is scheduled to be held on February 10, 2024.“There were discussions between the Formula E race organisers and the senior officials of the department in the first week of December. However, there has been no response from the present Congress government till now. We are keeping our fingers crossed, but since there is not much time left, we feel it is unlikely to take place,” a spokesperson of the Hyderabad E-Prix said on Friday.

He said chief minister A Revanth Reddy has his own priorities and so, he might not show much interest in conducting the Formula E race, which he had opposed last year. “However, his government might not communicate it officially and compel the organisers to drop out on their own for want of time,” the spokesperson said.

On Thursday, the Formula E issued a statement stating that it is seeking “urgent clarification” from the new Congress government in Telangana on fulfilling the contractual obligations under the agreement and how it could impact the race. “The host city agreement was signed on October 30, 2023. Formula E’s senior executive team met with the new leadership of Telangana government immediately following elections earlier this month. Discussions have been ongoing since then,” the statement said.

Following the talks, the new government sent a communication to the organisers about the contractual obligations. “Based on the content of the letter received, it appears the organisers will not be able to go ahead with the Formula E race as planned,” the statement said. “Subsequently, the organisers sought clarification from the government whether it will give permission to conduct the race or not,” the spokespersons said.

He said a lot of preparatory work has to be done for conducting the race, which should begin immediately. “Formula E, partners and suppliers have made significant commercial investments in the event. Unless there is a permission from the government urgently, they cannot go ahead with the preparations,” he said. According to the statement, the inaugural Hyderabad E-Prix held in February 2023 returned almost $84 m investments in the electronic automobiles sector creating a positive economic impact in the region, many times more than the overhead costs invested by Formula E and the Telangana government.

It said Hyderabad is set to host the only official FIA World Championship event in India next year, alongside other world cities, including Tokyo, Shanghai, Berlin and London, as part of a multi-year agreement between Formula E and Telangana. Officials of state municipal administration could not be reached for their comment.