Formula E cancels Hyderabad E-Prix over alleged contract breach by Telangana government
In a surprising turn of events, Formula E has officially canceled the upcoming Hyderabad E-Prix scheduled for February 10, accusing the Telangana government of breaching their contract.
The Municipal Administration and Urban Development Department (MAUD), under Telangana’s control, has allegedly failed to fulfill the Host City Agreement signed in October 2023, leading to the cancellation, as stated in Formula E’s announcement on Friday.
The initial four-year agreement involved Formula E, the Telangana government, and Greenko, which withdrew from the event after the inaugural edition. With the change in government, Formula E had expressed concerns last week, and now, formal notice of contract breach has been given to MAUD.
The disappointment extends to the Indian motorsport fanbase, as the inaugural race in Hyderabad last year delivered a substantial economic impact of nearly USD 84 million.
Despite the setback, Formula E is evaluating its options and reserves all rights under the Host City Agreement and applicable laws. The race’s cancellation is seen as a missed opportunity to showcase the benefits of electric vehicles in a market grappling with the environmental impact of traditional vehicle engines.