India, June 3 -- The Cabinet Committee on Economic Affairs, chaired by Prime Minister Narendra Modi, today approved the construction of a new coastal highway from Rameshwar to Paradeep on hybrid annuity model (HAM) in Odisha.

The 160.18 km coastal highway will be constructed under two packages with combined total capital cost of Rs 8,300.79 crore.

The coastal highway to pass through 4 districts The project section of new coastal highway from Rameshwar to Paradeep passes through Khurda, Puri, Kendrapada and Jagatsinghpur districts of Odisha while the existing road network of NH-16 is part of the Golden Quadrilateral and is already a 6-lane highway passing through major towns of Khurda, Bhubaneswar, and Cuttack.

The existing NH-316 con...