Odisha Cabinet Clears ₹854 Cr Paradeep Grid Project to Power Petrochemical Growth
Bhubaneswar: The Odisha Cabinet has approved a revised cost estimate of Rs 854.24 crore for the Paradeep (Ersama) 400/220/33 kV Grid Sub-Station and associated transmission lines.
Originally sanctioned at Rs 637.45 crore in 2020–21, the project’s cost escalated due to environmental, geographical, and technical challenges.
The state government will increase its equity contribution in OPTCL from Rs 191.23 crore to Rs 256.27 crore, while the remaining funds will be mobilised through loans.
Designed to meet the rising electricity demand in the Petroleum, Chemical and Petrochemicals Investment Region (PCPIR) across Paradeep and Kendrapada, the facility will also strengthen Odisha’s transmission backbone by creating a robust 400 kV and 220 kV ring network linking Bhubaneswar, Paradeep, and Kalinga Nagar.
The project timeline has been extended to FY 2026–27, allowing integration of advanced environmental safeguards and improved technical equipment.
Once operational, the Ersama sub‑station is expected to be a game‑changer for Odisha’s economy, unlocking PCPIR’s potential, attracting large‑scale manufacturing, and signalling investor confidence in the state’s power infrastructure.
