Bhubaneswar, June 2: The Cabinet Committee on Economic Affairs (CCEA), chaired by Prime Minister Narendra Modi, on Wednesday approved the construction of a new coastal highway connecting Rameshwar and Paradeep in Odisha at an estimated cost of ₹8,300.79 crore. The ambitious infrastructure project will be implemented under the Hybrid Annuity Model (HAM) and is expected to significantly enhance road connectivity along the state’s coastline.
The proposed highway will span a total length of 160.18 km and will be developed in two packages. According to an official statement, the project is expected to reduce travel time between Rameshwar and Paradeep by nearly two and a half hours, ensuring safer, faster and uninterrupted movement of both passenger and freight traffic.
The new corridor is expected to generate substantial economic and environmental benefits, including lower fuel consumption, reduced carbon emissions and decreased vehicle operating costs. It will also strengthen connectivity across the districts of Khurda, Puri, Kendrapada and Jagatsinghpur.
Officials noted that the existing NH-316 corridor, which connects Bhubaneswar, Puri, Satapada and Konark, faces significant challenges due to poor road geometry, ribbon development along nearly 40 per cent of the route and heavy local traffic, affecting smooth long-distance travel.
Under the approved plan, Package-I from Rameshwar to Konark will be developed as a four-lane highway, while Package-II from Konark to Paradeep will be built as a two-lane road with paved shoulders. The corridor will be designed for a speed of 100 kmph, improving travel efficiency and road safety.
The project is also expected to boost tourism, facilitate trade and logistics, improve access to coastal regions and accelerate socio-economic development in Odisha.
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