The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri 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 project section of new coastal Highway from Rameshwar to Paradeep passes through Khurda, Puri, Kendrapada and Jagatsinghpur Districts of Odisha, existing road network of NH-16 is part of the Golden Quadrilateral and is already a 6-lane highway passing through major towns Khordha, Bhubaneswar, and Cuttack. The existing NH-316 connects Bhubaneswar–Puri and further extends towards Satapada and Konark. The existing road geometry along the Puri–Satapada and Puri–Konark stretches is poor, with nearly 40% ribbon development along the corridor and high levels of roadside local commuter traffic, making the corridor unsuitable for smooth and efficient long-distance vehicular movement.

The instant 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 Khurda, Puri, Kendrapada and Jagatsinghpur in the State of Odisha. The project will also enhance regional mobility and promote socio-economic development.

The projects are in line with the PM GatiShakti principles and will connect 9 Economic Nodes and 5 Logistic Nodes. This will have a positive impact on the Logistic Performance Index (LPI) of the country.

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).

Map of Corridor

Appendix - I: Project Details

Description

Rameshwar- Konark 4-Lane access-controlled Highway

Konark-Paradeep

2-lane with Paved Shoulder

Length (km)

79.40

80.78

Brownfield length (Km)

2.560

-

Greenfield Length (Km)

76.840

80.78

Total Civil Cost (Rs Cr.)

3129.06

1566.02

Land and other Pre-construction Cost (Rs Cr.)

751.62

668.13

Total Capital Cost (Rs Cr.)

5304.80

2995.99

Mode

Hybrid Annuity Model (HAM)

Hybrid Annuity Model (HAM)

Total Concession Period

17.5 years (2.5 years construction + 15 years O&M)

17.5 years (2.5 years construction + 15 years O&M)

Economic

2 SEZ- Bhubaneshwar, Khordha (Khandagiri); Mega Food Parks- Bhubaneshwar; Fishing Cluster-Paradeep, Konark, Jagatsinghpur, Puri, Kendrapada; Pharma Cluster- Cuttack.

Logistic Nodes

Puri Railway Station, Puri Airport, Astarang Port, Paradeep Port & MMLP -Jagatsinghpur.

Employment Generation Potential

53.61 Lakhs Man-Days (direct) & 67.01 lakh Man-Days (indirect)

Expected Annual Average Daily Traffic (AADT) during FY 2027-28

Pkg I : 10,437PCU (9,236 PCU Tollable)

Pkg II : 7,249PCU (6,369 PCU Tollable)

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Cabinet approves road upgradation projects in Madhya Pradesh worth Rs. 4,415.60 Crore
June 03, 2026
Total Length-233.653 kms with cost of Rs. 4,415.60 Crore

The Cabinet Committee on Economic Affairs, chaired by the Prime Minister Shri Narendra Modi, today has approved upgradation of the existing intermediate lane to 2 Lane with Paved Shoulder Standard (125.01 kms) of Hiwarkhedi -Roshni-Ashapur-Rudhy Section of NH-347B and widening of existing 2 lane to 4 lanes from Deshgaon-Julwaniya Section of NH-347B of length (108. 643 kms) in the State of Madhya Pradesh on Hybrid Annuity Mode at a cost of Rs.4,415.60 Crore.

The proposed upgradation of the Hiwarkhedi-Roshni-Ashapur-Rudhy & Deshgaon-Julwaniya Section of NH-347B in Madhya Pradesh will address severe geometric deficiencies, sharp curves, and congestion in built-up areas across Betul, Khandwa, Khargone & Barwani district. An extended Greenfield Bypass of Khargone district of 16.20 Km length will be developed as part of instant project. The project will increase average travel speeds, reduce travel time, and improve overall road safety, fuel efficiency, and vehicle operating costs, thereby enhancing regional mobility and socio-economic development.

The project will provide seamless connectivity to key economic, social, and logistics nodes across Madhya Pradesh. The upgraded corridor will enhance multi-modal integration by connecting with 06 PM Gati-Shakti Economic Nodes (01 Textile Cluster, 02 Mega Food Park, 01 Industrial park, 02 Super Thermal Power Plants), 5 social nodes (02 Aspirational Districts- Khandwa & Barwani, 03 Tribal Districts-Betul, Khandwa, Khargone) and 5 Logistic Nodes (02 Major Railway Stations, 02 Airports, 01 MMLP), thereby facilitating faster movement of goods and passengers across the region.

Map of Corridor 

Appendix - I: Project Details

Feature

Details

Project Name

Upgradation of the existing intermediate lane to 2 Lane with Paved Shoulder Standard (125.01 kms) of Hiwarkhedi -Roshni-Ashapur-Rudhy Section of NH-347B and widening of existing 2 lane to 4 lane from Deshgaon-Julwaniya Section of NH-347B of length (108. 643 kms) in the State of Madhya Pradesh on Hybrid Annuity Mode. (Total Length-233.653 kms)

Corridor

Betul-Khandwa-Vadodara

Length (km)

233.653

Total Civil Cost (Rs in Cr.)

2705.08

Land Acquisition Cost (Rs in Cr.)

432.77

Total Capital Cost (Rs in Cr.)

4415.60

Mode

Hybrid Annuity Mode (HAM)

Bypasses

Hiwarkhedi-Roshni-Ashapur-Rudhy Section

 

Bypass Length=70.39 km

Deshgaon-Julwaniya Section

 

 

Bypass Length = 54.273 km

Major Roads Connected

National Highways – NH-47, NH-753, NH-347BG and NH-52

State Highways – SH-15 and MDR

Economic / Social / Transport Nodes Connected

Airport: Indore & Nagpur

Railway Stations: Betul, Khandwa

Multi Model Logistic Park (MMLP) : Indore

Economic Nodes: 01 Textile Cluster, 02 Mega Food Park, 01 Industrial park, 02 Super Thermal Power Plants

Major Cities / Towns Connected

Betul, Khandwa, Khargone, Barwani

Employment Generation Potential

19.50 lakhs person-days (Direct) & 23.00 lakh person-days (Indirect)