Government sources said that the Home Ministry would soon take up a note on the matter to the Cabinet which is also expected to set up a Group of Ministers (GoM) to go threadbare into issues arising out of the bifurcation of Andhra Pradesh.
This is likely to be followed by a resolution being sent to the Andhra Pradesh Assembly over the formation of the new state.
Only recently, Congress President Sonia Gandhi, who is also UPA chairperson, had said that the government would be setting up a committee on Telangana.
After formation, Telangana will be 29th state of India.
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"At the moment the idea is to have 10 districts in Telangana but it will be for the GoM to consider demands for inclusion of more areas," AICC General Secretary (in-charge Andhra Pradesh) Digvijay Singh has said.
The current session of Parliament is witnessing strong protests by both Congress and TDP MPs from the Seemandhra region seeking "justice" with some even demanding a united Andhra Pradesh.
The protests had paralysed proceedings in the Lok Sabha for quite some time and the suspension of as many as 12 members belonging to both Congress and TDP had restored normalcy in the Lower House.
The CWC, which met on July 30, passed a resolution requesting the Centre "to make steps in accordance with the Constitution to form a separate state of Telangana ... Within a definite timeframe".
The CWC also recommended to the government that Hyderabad should be made the joint capital for a period of 10 years.