en.Wedoany.com Reported - The Cabinet Committee on Economic Affairs has approved the construction of a new coastal highway from Rameshwar to Paradeep in Odisha under the Hybrid Annuity Mode, divided into two packages with a total length of 160.18 km and a capital cost of Rs 83.01 billion. The approval was granted at a meeting chaired by the Prime Minister, aimed at improving regional connectivity and freight movement, linking nine economic nodes and five logistics nodes.
The corridor will pass through Khurda, Puri, Kendrapada, and Jagatsinghpur, and will intersect with NH-16 and NH-316, which connect Bhubaneswar, Cuttack, and Puri. Currently, road geometry between Puri, Satapada, and Konark is poor, with nearly 40% of the stretch experiencing ribbon development, and heavy local commuter traffic hindering long-distance travel. The new route aims to provide a safer and more efficient passage for passenger and freight transport.
The first package is a four-lane access-controlled highway from Rameshwar to Konark, and the second package is a two-lane paved shoulder highway from Konark to Paradeep, both designed for a speed of 100 km/h. The concession period for both projects is 17.5 years, including a 2.5-year construction period and a 15-year operation and maintenance period. Upon completion, travel time is expected to be reduced by approximately 2 hours and 30 minutes, while also lowering fuel consumption, carbon emissions, and vehicle operating costs.
The capital cost of the first package is Rs 53.05 billion, covering approximately 79.40 km; the second package has a capital cost of Rs 29.96 billion, covering approximately 80.78 km, with most sections being new construction, along with separate allocations for land and pre-construction works. Construction employment is estimated at approximately 5.36 million direct man-days and 6.70 million indirect man-days. The average annual daily traffic is projected at 10,437 PCU for the first package and 7,249 PCU for the second package in 2027-28.
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