The University Post Graduate College was established in the academic year 1987-88 under Osmania University by the name OU Post Graduate Centre, Mahabubnagar, with the introduction of two Post-Graduate Programmes viz. M.A. Political Science and M.Com. The University has added two more Programmes: MBA in the year 1997-98 and MCA in the year 1998-99. Subsequently, M.Sc., Mathematics programme was introduced with the intake of 30 students during the academic year 2005-06.
The former Chief Minister of Andhra Pradesh Late Dr. Y. S. Rajasekhar Reddy formally inaugurated the Palamuru University on 09-11-2008. After the establishment of Palamuru University, the erstwhile PG Centre of Osmania University was converted into Palamuru University along with the assets of 17 acres of land with a built-up area of 24,000 sq. ft. for academic purpose and 20,000 sq. ft. for Boys' Hostel which is presently extended and accommodates about 300 students.
After the establishment of the University, the Monitoring & Development Committee (M&DC) formed by G.O. Ms. No. 158, dated 07-08-2008, at its first meeting held on 25th August, 2008, decided to start three more programmes viz. M.Sc. Organic Chemistry, M.Sc. Microbiology and M.A. English Literature with an intake of 30 students in each course during the academic year 2008-09. In the academic year 2009-10, University has introduced other programmes including MSW with intake of 40 students, Five Year Integrated Chemistry with intake of 40 students and B. Pharmacy with intake of 60 students. Subsequently, the University has introduced M.Sc. Botany, M.Sc. Zoology, M.Sc. Physics and M.A. Economics. Presently the College offers 14 programmes in various disciplines.
The University extended the built-up area of the college by constructing the second floor with an approximate plinth area of 11,200 sq. ft. with well-ventilated class rooms and Laboratories in the year 2010-11 and a separate building for Science Courses with a plinth area. by the name Science Block in the year 2016-17. Presently, the college comprises three buildings viz. ARTS & SCIENCE BLOCK, SCIENCE BLOCK, and ACADEMIC BLOCK with all infrastructural facilities for Teaching, Learning and Research.