The Home Minister's intervention follows reports that the two states were allegedly fighting over a host of issues, including drinking and irrigation water, power supply and municipal affairs, official sources said.
Union Home Secretary Anil Goswami has been asked by the Home Minister to convene a meeting of the Chief Secretaries of Telangana and Andhra Pradesh as soon as possible to amicably sort out all differences between the two states.
After a separate state of Telangana formally came into existence on June 2 following bifurcation of Andhra Pradesh, the two states have been negotiating the distribution of assets and allocation of officers belonging to all-India services like IAS, IPS and Indian Forest Service.
Telangana and Andhra Pradesh are also fighting over the central government's decision to incorporate seven mandals of Bhadrachalam division into Khammam district of Andhra Pradesh as part of the Polavaram Project.
Sources said the Centre's main concern is that the infighting between the two administrations should not spiral into street-fighting between the people of the two states as there have been instances of provocative statements being made by some political leaders against each other.