THEBUSINESSBYTES BUREAU

BHUBANESWAR, JUNE 8, 2026

In one of its most ambitious development drives in recent years, the Odisha Cabinet chaired by Chief Minister Mohan Charan Majhi at Lok Seva Bhawan on Monday approved a series of transformative projects and policy reforms spanning tourism, industrial infrastructure, urban development, irrigation, housing and water management, with a cumulative investment running into several thousand crore rupees.

A major highlight of the Cabinet decisions was the approval of a ₹210.36-crore Women Workers’ Hostel at the Kalibeti Industrial Area in Khordha district. To be developed by the Industrial Infrastructure Development Corporation of Odisha (IDCO) under the Scheme for Assistance to States for Capital Investment (SASCI), the facility will accommodate around 4,000 women workers and provide integrated residential, social and community infrastructure. The initiative is expected to support Odisha’s fast-growing textile and apparel sector, where women constitute a significant portion of the workforce. Kalibeti Industrial Estate, home to leading investors such as MAS Holdings, EPIC and Indian Stitches, is projected to generate over 20,000 jobs in the coming years.

In a landmark move towards sustainable urban transformation, the Cabinet also approved the ₹500-crore Waterfront Development Scheme to be implemented over five years. The programme aims to rejuvenate riverfronts and urban water bodies across selected cities, creating environmentally sustainable, accessible and people-friendly public spaces. Besides restoring ecological balance and improving urban livability, the initiative is expected to promote tourism, cultural activities, local economic development and climate resilience through improved flood management and adaptive infrastructure.

Addressing concerns over urban water pollution, the Cabinet approved a ₹100.89-crore wastewater treatment project at the confluence of River Daya and Gangua Nallah in Bhubaneswar. To be executed by WATCO, the project includes a 60 MLD Sewage Treatment Plant based on Sequential Batch Reactor technology, pumping infrastructure, automation systems and dedicated power supply facilities. The project is expected to significantly reduce pollution in River Daya, improve water quality and strengthen the city’s sanitation infrastructure when completed in 2028.

Further strengthening urban infrastructure, the Cabinet cleared a ₹112.31-crore 24×7 Water Supply Project for Bhubaneswar Development Authority’s Town Planning Schemes TP-1, TP-2 and TP-3. The project will establish a modern water distribution network, including elevated storage reservoirs, gravity mains and advanced SCADA systems, ensuring uninterrupted and equitable water supply to rapidly developing urban areas.

In a major relief for low-income urban households, the Cabinet approved a sharp reduction in stamp duty and registration fees for Economically Weaker Section (EWS) housing units under Pradhan Mantri Awas Yojana-Urban 2.0 and other state housing schemes. Charges that currently range between 6 and 7 per cent will now be reduced to just 0.6 to 0.7 per cent for dwelling units up to 60 square metres, substantially lowering the cost burden on beneficiaries and accelerating affordable housing uptake.

The Cabinet also sanctioned ₹440.33 crore for the construction of a new In-Stream Storage Structure across the Mahanadi River near Sambalpur to replace the ageing Ayodhya Sagar weir. The bridge-cum-barrage project, which includes five years of operation and maintenance, is expected to ensure reliable drinking water supply, improve groundwater recharge, support fisheries and livestock activities, and boost tourism and cultural development around the Samaleswari Temple region.

Tourism received a major boost with the approval of the “Land Bank for Hospitality Infrastructure” scheme. Under the ambitious programme, approximately 5,500 acres of government and private land will be developed across key destinations including Chilika, Konark, Puri, Dhauli, Hirakud, Satkosia, Similipal, Bhitarkanika, Daringbadi and Deomali. The scheme, carrying a total outlay of ₹1,500 crore over five years, seeks to provide investment-ready land for hotels, resorts, convention centres, wellness retreats and eco-tourism projects. The government expects the initiative to attract substantial private investment, generate employment and position Odisha among Asia’s leading tourism destinations.

In the irrigation sector, the Cabinet approved a ₹194.07-crore tender for construction of the spillway of the Brutang Irrigation Project in Nayagarh district. The project, Odisha’s 11th major irrigation scheme, aims to create irrigation potential for 23,300 hectares and provide assured water supply to 309 villages across Dasapalla, Nuagaon, Nayagarh, Khandapada and Odagaon blocks, significantly improving agricultural productivity and rural livelihoods.

Collectively, the Cabinet decisions reflect the state government’s strategy of balancing industrial expansion, infrastructure creation, environmental sustainability, tourism-led growth and social welfare. The approvals are expected to strengthen Odisha’s investment ecosystem, enhance urban and rural infrastructure, generate employment opportunities and improve quality of life across the state, reinforcing its vision of becoming a leading destination for industry, tourism and inclusive development.