Bhubaneswar: The Odisha Cabinet on Saturday approved the expenditure of Rs 273.51 crore incurred till December 31, 2025, on the Bhubaneswar Metro Rail project. The cabinet also terminated the agreement with the Delhi Metro Rail Corporation (DMRC) and repurposed the role of Bhubaneswar Metro Rail Corporation Limited (BMRCL).
The decisions were taken following recommendations of the Inter-Ministerial Committee (IMC). The committee, after a detailed review, highlighted key feasibility challenges including non-compliance with the National Metro Rail Policy 2017, below-threshold traffic demand, and low ridership projections. Continuing the project in its present form risked substantial annual operating losses.
The Cabinet authorised the IMC to recommend any future liabilities or expenditures related to the project directly to the Chief Minister for final decisions. It also redefined BMRCL’s role to serve as the nodal agency for inter-departmental coordination under the ‘Sustainable Urban Mobility Transition Plan’ in Odisha. BMRCL may additionally function as a Special Purpose Vehicle (SPV) for future mobility projects in the state.
Moving forward, the government will utilise Asian Development Bank (ADB) technical assistance to prepare a Comprehensive Mobility Plan (CMP) for the Bhubaneswar-Cuttack-Puri-Paradeep Economic Region (BCPPER). The CMP will focus on Transit-Oriented Development (TOD), Multi-Modal Integration (MMI), and inclusive, sustainable mobility solutions.
This strategic shift aims to safeguard public resources while building a future-ready, integrated public transport system aligned with the state’s vision of Vikshit Odisha by 2036. No major public reaction has been reported yet, though opposition parties may raise questions over the expenditure incurred so far.
