On one hand the Congress leaders were inactive in Delhi, while YSR consolidated his power in the state. YSR tookup Pulichínthala, Polavaram, Singoor canal Projects without discussing it in the cabinet.

• As YSR’s style of functíoning was proving harmful to Telangana, TRS leadership grew restless. At this time on July 01, 2005 a famous Naxalite leader was killed in police firing. As TRS announced that their agenda was almost the agenda of Maoists they decided to resign.
• Except Santhosh Reddy all the TRS ministers submitted their resignations on July 4th, 2005. In order to explain to people why TRS had withdrawn from the Government, the party organized a large public meeting in Warangal on July 17, 2005. Central Minister Sharad Pawar attended the meeting and expressed his support to Telangana.

• TRS party with the intention of spreading Telangana ideology decided to train one lakh party workers in the name of Telangana Jana Jagarana Sena’. As a part of this training programme, in the first phase 605 workers selected from all the districts of Telangana were given training in Noma function hall, Nacharam (Hyderabad) from September 10,2005.
• These workers were called ‘Preraks’. They were provided with uniforms, sticks and a tie. Along with ideology they were also trained in Physical fitness activities. Due to various reasons, this kind of training was not given to many but training classes were conducted in each district.
• TRS conducted ‘Polavaram Garjana’ in Bhadrachalam on February 12,2006 supporting the tribals who were against the Polavaram project. Central Minister Shibusoren attended this public meeting.
• With the support of YSR, nine TRS MLAs signed the nomination of independent candidate Kasani Gyaneshwar in the council elections. KCR appealed to the speaker in a letter to declare these nine elected from TRS party for defying the TRS whip by supporting Kasani as ineligible (the speaker disqualified them two years later on December 22, 2008.