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Cabinet approves construction of 6-Lane Access-Controlled Capital Region Ring Road (Bhubaneswar Bypass

110.875 km in Odisha on Hybrid Annuity Mode (HAM) at capital cost of Rs.8307.74 crore

Gadyal Desk by Gadyal Desk
19/08/2025
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The Cabinet Committee on Economic Affairs chaired by the Prime Minister Shri Narendra Modi today has approved construction of 6-Lane Access-Controlled Capital Region Ring Road (Bhubaneswar Bypass – 110.875 km) in Odisha on Hybrid Annuity Mode (HAM) at a total capital cost of Rs.8307.74 crore.

Currently, connectivity between Rameshwar to Tangi on existing National Highway experience significant congestion due to high traffic volumes, passing through highly urbanized cities Khordha, Bhubaneswar and Cuttack. To address these challenges, the project is proposed to be developed as 6-Lane Access-Controlled Greenfield Highway. 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.

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The project alignment integrates with 3 major National Highways (NH-55, NH-57 and NH-655)  and 1 State Highway (SH-65), providing seamless connectivity to key economic, social, and logistics nodes across Odisha. Additionally, the upgraded corridor will enhance multi-modal integration by connecting with 10 Economic Nodes, 04 Social Nodes and 05 Logistic Nodes, providing enhanced multimodality with 1 Major Railway Station, 1 Airport, 1 proposed Multi-Modal Logistics Park (MMLP), and 2 major Ports thereby facilitating faster movement of goods and passengers across the region.

Upon completion, the bypass will play a pivotal role in regional economic growth, strengthening connectivity between major religious and economic centers and opening new 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, and will open new avenues of growth, development and prosperity in surrounding regions.(PIB)

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