The Union Cabinet on Wednesday (June 3, 2026) approved the construction of a new coastal highway from Rameshwar to Paradeep in Odisha at a total project cost of ₹8,300.79 crore.The new coastal highway from Rameshwar to Paradeep will be constructed on a hybrid annuity model, in two packages, with a combined total length of 160.18 km, an official statement said.According to an official statement, the project section of the new coastal highway passes through Khurda, Puri, Kendrapada and Jagatsinghpur districts of Odisha.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 statement said.The instant projects are proposed to have a four-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 Odisha.The project will also enhance regional mobility and promote socio-economic development. The statement said 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, it said the project will result in substantial reductions in fuel consumption, carbon emissions, and vehicle operating costs (VOC). Published - June 03, 2026 04:49 pm IST