Odisha Cabinet clears ₹8,179 crore plan for a new modern city in Bhubaneswar, featuring housing, transport, and global MICE facilities by 2036
OdishaPlus Bureau
The state cabinet, led by Chief Minister Mohan Majhi, approved the New City Development scheme on Wednesday. This initiative will see the construction of a new township over 800 acres in the Gothapatna, Malipada, and Daspur regions of the city.
The township is set to be developed within the Bhubaneswar Development Plan Area (BDPA) and is anticipated to accommodate the projected population of over 2 million by the year 2036. Chief Secretary Manoj Ahuja stated, “The new township will not simply be an urban sprawl but a meticulously designed transit-oriented development that emphasizes public transport, reduced commute times, and seamless connectivity. By providing a variety of housing options — ranging from affordable homes for low-income families to upscale residences — the project aims to deliver on the commitment of housing for all.”
The Bhubaneswar Development Authority (BDA) has estimated an investment of ₹8,179 crore over a period of 15 years. This funding will consist of a combination of state resources and private investment. For the initial phase, covering the years 2025–26 to 2029–30, the government has allocated ₹1,312 crore from the state budget. This amount will be directed towards land acquisition, road construction, essential utilities, and public amenities.
In January of this year, the Bhubaneswar Development Authority entered into a Memorandum of Understanding (MoU) with Surbana Jurong Infrastructure Private Ltd, a company based in Singapore, to provide consultancy services related to master planning and advisory support for the development of essential urban infrastructure.
Officials have stated that the new city is intended to incorporate cutting-edge facilities for Meetings, Incentives, Conferences, and Exhibitions (MICE) in order to draw international business events. Additionally, it will feature central forest parks, gateway plazas, and large open areas designed to function as lively community centers.
On Wednesday, the state cabinet also increased the financial authority of officials by modifying the Odisha Panchayat Samiti Accounting Procedure Rules, 2002.
These amendments have raised the financial powers of Block Development Officers (BDOs), engineers, and district-level officials, allowing them to grant both Technical Sanction (TS) and Administrative Approval (AA) for Panchayat Samiti projects without the need for the counter-signature of elected representatives.
Under the updated framework, the authority of BDOs to approve bills for Panchayat Samiti projects has been increased five times — from ₹2 lakh to ₹10 lakh — without the need for the counter-signature of the Panchayat Samiti chairpersons.
Additionally, administrative approval powers have been assigned to the Chief Development Officer (CDO)-cum-executive officer of the Zilla Parishad, further transferring authority from elected officials to government personnel.
Officials indicated that the new framework will accelerate the processing of bills, eliminate delays caused by the necessity of multiple counter-signatures, and guarantee the timely execution of schemes