Union Cabinet Clears Rs 8,307 Cr Six-Lane Bhubaneswar Bypass Project

The project, to be built under the Hybrid Annuity Mode (HAM), involves a total capital outlay of Rs 8,307.74 crore, Information and Broadcasting Minister Ashwini Vaishnaw announced on Tuesday.

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The Union Cabinet has given its nod for the construction of a six-lane access-controlled capital region ring road (Bhubaneswar Bypass) in Odisha. The project, to be built under the Hybrid Annuity Mode (HAM), involves a total capital outlay of Rs 8,307.74 crore, Information and Broadcasting Minister Ashwini Vaishnaw announced on Tuesday.

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The 110 km-long corridor has been planned to address severe traffic congestion between Rameshwar and Tangi on the existing National Highway, which currently passes through the heavily urbanised hubs of Khordha, Bhubaneswar and Cuttack.

According to an official statement, "The project will provide significant benefit to Odisha and other eastern States by diverting heavy commercial traffic away from Cuttack, Bhubaneswar and Khordha Cities. This will enhance the efficiency of freight movement, reducing logistics cost and driving socio-economic growth in the region."

The new alignment will link three major National Highways (NH-55, NH-57 and NH-655) and one State Highway (SH-65), ensuring seamless connectivity to important economic, social, and logistics centres across Odisha.

The upgraded corridor is also expected to enhance multi-modal integration, as it will connect with a major railway station, an airport, a proposed multi-modal logistics park (MMLP), and two major ports. This will facilitate faster movement of goods and passengers across the region.

Officials said the project will be a game-changer for Odisha’s economy by improving connectivity between key religious and economic centres while opening fresh avenues for trade and industrial development.

"The project will also generate approximately 74.43 Lakhs person-days of direct and 93.04 lakh person-days of indirect employment," the statement added.

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Union Cabinet Bhubaneswar Highway