Bhubaneswar: The State Cabinet on Saturday approved Rs 440.33 crore for a new In-Stream Storage Structure across the Mahanadi River to replace the deteriorated Ayodhya Sagar weir near Sambalpur.
Built in the 1960s, the Ayodhya Sagar weir is the primary water source for Sambalpur town and nearby rural areas. Officials said the structure has developed cracks and heavy leakage over time, reducing storage and efficiency. Technical assessments found repair unfeasible and uneconomical.
The Cabinet cleared the lowest financial bid of Rs 440,33,91,470.06 excluding GST for construction of the new bridge-cum-barrage downstream of the existing weir. The package includes five years of operation and maintenance. Work is targeted for completion in 30 months.
Once operational, the new ISS will ensure a reliable drinking water supply to Sambalpur and adjoining areas. It will also support animal husbandry, fisheries, and livelihood activities, and enhance groundwater recharge.
The project aims to maintain ecological balance while promoting tourism and recreation through boating facilities. It will also facilitate development of an Alati Ghat for Samaleswari Temple to support religious and cultural activities.













