Odisha Gains Momentum for Coastal Highway Push as Centre Clears ₹8,300-Crore Stretch
Greenfield coastal corridor from Rameshwar to Paradip set to reshape tourism, port connectivity and regional growth, reducing travel time by nearly half
Bhubaneswar: Odisha’s long-awaited coastal highway project has taken a major leap forward with the Public Private Partnership Appraisal Committee (PPPAC) of the Ministry of Finance approving a substantial portion of the Rameshwar–Digha corridor. The cleared section—from Rameshwar to Paradip—will cover 160.18 km and cost ₹8,300.79 crore, marking a transformative step for coastal infrastructure, tourism, and port-driven economic activity in the state.
The approved stretch will be executed under the hybrid annuity model (HAM) in two distinct packages. Package-I, from Rameshwar to Kakatpur, will consist of a four-lane access-controlled carriageway, primarily designed to support heavy tourism traffic around Konark and Puri. Package-II, from Kakatpur to Paradip, will initially be developed as a two-lane road with paved shoulders, keeping long-term port expansion in mind.
The alignment underwent last-minute changes earlier this year based on revised traffic assessments, prompting NHAI to cancel initial tenders. The Kakatpur–Paradip stretch was scaled down to two lanes for now, but authorities clarified that it will be upgraded to four lanes once the upcoming Astaranga port becomes operational. Only one side of the corridor will be constructed initially, with the remaining portion reserved for future expansion.
Land acquisition for the project is already underway across Khurda, Puri, Kendrapara, and Jagatsinghpur districts. Of the total 794.69 hectares required, nearly 70% of land for Package-I and 30% for Package-II has been acquired. The project has secured environmental and CRZ clearances, while Stage-I forest clearance is under process.
With 36 major bridges—including a 3.3-km bridge over the Mahanadi—alongside 89 minor bridges, 376 culverts, three flyovers, six viaducts, three rail overbridges and 45 underpasses, the highway promises a major connectivity boost. The general arrangement drawings for all ROBs have already been approved by the Railways.
Traffic assessments project significant utility for the corridor, with expected volumes rising from 10,437 PCUs in Package-I and 7,249 PCUs in Package-II to over 20,000 PCUs by 2047–48. The Rameshwar–Paradip travel distance will shrink from 210 km to 160 km, cutting travel time by almost 45%—from 5.5 hours to just 3 hours.
NHAI Chief General Manager (Odisha), Veerendra Singh, confirmed that bids will be invited once the Cabinet approves the proposal. Meanwhile, the DPR for the Paradip–Digha stretch is in progress and will be taken up next year in Phase II.
For Odisha, this highway signals more than improved transport—it represents new economic lifelines across tourism belts, fisheries-rich regions, and emerging port hubs. By providing faster, safer, and more direct access along the coastline, the state is positioning itself for significant coastal growth in the coming decade.
