Bhubaneswar: The Odisha Cabinet on Wednesday approved two important proposals of the Housing and Urban Development Department to be implemented at a total cost of around Rs 582 crore.
One of the two proposals aims to implement a mega drinking water project for Sambalpur city. The project will be executed with an expenditure of Rs 382 crore. A private firm from Thane in Maharashtra has been assigned the work thorough bidding process, Chief Secretary Manoj Ahuja told reporters after the Cabinet meeting.
The present population of Sambalpur city is 4.75 lakh. As per the projection, the Western Odisha city will have 7 lakh population by 2043. The Cabinet has approved the drinking water project to provide round-the-clock water supply to the residents of Sambalpur, he added.
LED Streetlights For 110 ULBs
Another proposal was cleared to utilise up to Rs 200 crore from the Odisha Urban Infrastructure Development Fund’s (OUIDF) own resources—drawn from recovery of principal and interest—for implementing the LED Public Street Lighting Project in 110 Urban Local Bodies (ULBs) across the state under retrofitting stretches.
The project, already under execution, aims to replace outdated fixtures with smart, energy-efficient LED luminaires in existing public lighting systems, while also ensuring their long-term operation and maintenance. It follows a state-wide programme to modernise street lighting in both newly developed (greenfield) stretches and existing (retrofitting) stretches for better illumination, public safety, and security.
In recent years, the expansion of ULB areas and growing public demand have created the need for additional street lighting infrastructure. Municipalities and NACs have sought new installations in unlit stretches as well as upgrades in older networks where components have become defective.
Earlier, in its 69th meeting on December 30, 2023, the Cabinet had approved the LED Public Street Lighting Project for all 110 ULBs, with greenfield works funded through OUIDF loans and grants along with ULB contributions. For retrofitting, joint surveys were carried out by implementing agencies, ULBs, and independent engineers to identify equipment requiring replacement.
Following this assessment, six implementing agencies were assigned the work, with the total retrofitting project cost estimated at Rs 350.04 crore. Of this, Rs 150 crore from OUIDF has already been deployed. The newly approved Rs 200 crore allocation will cover the remaining cost.
40% Land Subsidy For MRO Facility In Bhubaneswar
The Cabinet also decided to extend incentives under IPR 2022 to M/s Air Works India for establishing a world-class MRO (Maintenance, Repair & Overhaul) facility at the Biju Patnaik International Airport, Bhubaneswar, under the MAAN scheme. The project aims to position Odisha as a regional aviation hub, tapping into the global MRO market projected to reach USD 117 billion by 2031.
The upcoming MRO facility, the first major one in Eastern India, will be developed at the Biju Patnaik International Airport in Bhubaneswar. The move is aimed at attracting private sector participation in the sector, with Air Works India (Engineering) Pvt Ltd selected as the anchor investor to establish and operate the facility.
The Commerce and Transport Department will oversee implementation, while the High-Powered Committee on Aviation will facilitate project rollout and monitoring, Ahuja added.
Nursing Education
The Cabinet also approved the Odisha Nursing Education Service Rules, 2025, prescribing recruitment and promotion procedures for nursing faculty in government institutions. The move will address vacancies in eight existing nursing colleges, 21 ANM training centres, and seven upcoming colleges, ensuring quality teaching and strengthening nursing education.
Separate Directorate of Museum
As per another decision of the Cabinet, a separate Directorate of Museum will be set up to improve cultural management and coordination, with dedicated curatorial service rules to enhance the functioning of state museums.
Ministerial Services In CT&GST
The Cabinet approved rules for Odisha Ministerial Services in CT&GST offices, standardising recruitment and service conditions across 12 ranges and 50 circles. Eighty percent of posts will be filled through direct recruitment and 20% via promotion, ensuring uniformity in the ministerial cadre.












