The National Highways Authority of India (NHAI) received an overwhelming response from bidders for the construction of a 160 km Access Controlled Greenfield Coastal National Highway from Rameshwar to Paradeep in Odisha. The project was divided into two packages: Package-I (Rameshwar to Konark) spanning 79.4 km as a 4-lane access-controlled highway received 10 bids, while Package-II (Konark to Paradeep) covering 80.7 km as a 2-lane with Paved Shoulder configuration received 7 bids.

The project was approved by the Cabinet Committee on Economic Affairs in June 2026 with a combined total capital cost of ₹8,300.79 crores and will be awarded on Hybrid Annuity Mode (HAM). During construction, it is expected to generate 53.6 lakh direct man-days and 67 lakh indirect man-days of employment, totaling 120.6 lakh man-days.

The highway features a design speed of 100 km/hour and will provide direct connectivity to key tourist destinations including Sri Jagannath Temple, Puri Beach, and Konark Sun Temple. It will reduce travel time between Rameshwar and Paradeep by approximately 2 hours and 30 minutes. The corridor will serve as an alternate route to NH-16 (part of the Golden Quadrilateral passing through Khordha, Bhubaneswar, and Cuttack) and NH-316 (connecting Bhubaneswar to Puri, Satapada, and Konark), addressing the issue of ribbon development along existing corridors where nearly 40% of sections have high local commuter traffic unsuitable for high-speed long-distance movement.

The project will improve connectivity to Puri International Airport (upcoming), Paradeep Port, and developing ports like Astarang and Subarnarekha, while providing enhanced access to Khurda, Puri, Kendrapada, and Jagatsinghpur districts. Benefits include reduced fuel consumption, lower carbon emissions, decreased vehicle operating costs, reduced logistics costs, and support for regional economic growth.