The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Narendra Modi, today has approved the construction of new coastal Highway from Rameshwar to Paradeep on Hybrid Annuity Model (HAM) in Odisha under two packages with a combined total length of 160.18 km and combined total capital cost of Rs.8300.79 crore.
The projects are proposed to have a 4-lane configuration from Rameshwar to konark (Package-1) and 2 lane with paved shoulder from Konark to Paradeep (Package-2), ensuring design speed of 100 km/hour and improved travel efficiency across the Districts of Khordha, Puri, Kendrapada and Jagatsinghpur in Odisha.
The project section of new coastal Highway from Rameshwar to Paradeep passes through Khordha, Puri, Kendrapada and Jagatsinghpur Districts of Odisha, existing road network of NH-16, passing through major towns Khordha, Bhubaneswar, and Cuttack.
The existing NH-316 connects Bhubaneswar–Puri and further extends towards Satapada and Konark.
Upon completion, travel time is expected to reduce by about 2 hour and 30 minutes between Rameshawar and Paradeep, while providing safe, fast, and uninterrupted connectivity for both passenger and freight traffic. Additionally, the project will result in substantial reductions in fuel consumption, carbon emissions, and vehicle operating costs (VOC).



