Bhubaneswar : The State Government has prepared a memorandum to demand Rs 12.56 lakh crore fund from the Centre through the 16th Finance Commission.
The memorandum, which will be placed before the Finance Commission during its visit to Odisha, was approved by the State Cabinet today, said Chief Minister Mohan Charan Majhi while briefing media persons.
The Cabinet also passed a total of 10 proposals including the above one during its meeting held today.
The Chief Minister said the 16th Finance Commission is scheduled to visit the state for three days from February 5. “During the Finance Commission’s visit, the state will place a demand for Rs 12,56,148 crore for next five years from 2026 to 2031,” he said.
Key Cabinet approvals include the decision to offer a customised incentive package of 50 per cent for RIR Power Electronics Limited (RIR), which plans to establish India’s first Silicon Carbide (SiC) semiconductor manufacturing facility in Bhubaneswar.
The project, with a total investment of Rs 618.60 crore, is set to be implemented in two phases. The groundbreaking ceremony for the facility took place on September 7, 2024, at the Electronic Manufacturing Cluster (EMC) Park in Infovalley, Bhubaneswar.
The facility will focus on SiC-based devices for electric vehicles (EVs), renewable energy, railways, and defence, and is expected to generate 750 jobs, he said.
Shri Majhi also informed the decision of the Cabinet to establish Godabarish Mishra Adarsha Prathamik Vidyalayas (model schools) in all 6,794 gram panchayats across the state at an investment of Rs 11,939.41 crore over five years (2024-2029).
Depending on student enrollment, Rs 1 crore to Rs 5 crore will be allocated for each school. Additionally, all high schools will be upgraded under the Adarsha Vidyalaya Yojana.
Rejecting the previous BJD government’s 5T model for school transformation, Shri Majhi pointed out that no detailed project report (DPR) or estimate had been prepared for school development.
“It was like playing with the future of students,” he said. Work on 114 such schools will begin this year, with the remaining to be completed over the next four years.
The Cabinet also approved a new scheme titled “Bikshita Gaon Bikashita Odisha” for the inclusive growth of rural Odisha through various sustainable development projects. The scheme is set to continue for five years with a project outlay of Rs. 5000 crore, which may be extended based on the government’s decision.
A budgetary provision of Rs 1000 crore has already been allocated in the budget estimate for 2024-2025. The projects aim to bridge critical gaps and accelerate the growth of rural Odisha, Shri Majhi said.
The focus will primarily be on developing rural roads and infrastructure, creating civic assets and amenities, improving sports infrastructure, and enhancing micro-tourism spots.
According to official sources, the development of both inter-village and intra-village roads will be a top priority under this scheme. It also plans to undertake need-based community projects to create durable assets for the community.
The community will be sensitized to remain vigilant, supervise the quality of work, and ensure the upkeep and maintenance of these assets. Need-based project lists, a five-year prospective plan, and an annual action plan for each financial year will be prepared by the Gram Sabha and recommended to the Block by the Gram Panchayat.
The project lists will be scrutinized by a technical committee at the block level, based on feasibility, admissibility, and financial limits. The Collector of the respective district will serve as the approving authority.
Shri Majhi also announced the introduction of the ‘Financial Assistance to Cold Storages’ scheme, aimed at strengthening cold storage facilities and infrastructure.
The goal is to establish at least one cold storage in each of the 58 sub-divisions of the state, encouraging private entrepreneurs to set up cold storage facilities in uncovered and economically viable areas. This will help improve farmers’ income by providing better market opportunities, value addition, and post-harvest loss prevention.
The Cabinet approved the post-facto sanction of a government guarantee amounting to Rs.3,108.21 crore on a swapping basis in favor of GRIDCO Ltd. for term loans availed from banks and financial institutions (FIs).