Gunupur-Therubali Railway Line Project
Gunupur-Therubali Railway Line Project
GOVERNMENT OF INDIA
MINISTRY OF RAILWAYS
LOK SABHA
UNSTARRED QUESTION NO: 3802
ANSWERED ON: 11.12.2025
Gunupur-Therubali Railway Line Project
Saptagiri Sankar Ulaka
Will the Minister of RAILWAYS be pleased to state:-
(a) Whether the Railways is now backing away from Gunupur-Therubali New Railway Line Project citing poor Rate of Return (RoR);
(b) Whether the Railways has not put up the project to CCEA for approval and if so, the details thereof along with the plan for completion of the project;
(c) Whether the Railways is now requesting 50 per cent of cost to be borne by the State Government due to poor rate of return and if so, the details thereof;
(d) Whether the Ministry of Railways was not aware of RoR at the time of sanctioning the project in the Budget of 2017-2018; and
(e) The changes that have occurred since the sanctioning of project that has affected the RoR?
ANSWER – MINISTER OF RAILWAYS AND COMMERCE & INDUSTRY (SHRI PIYUSH GOYAL)
(a) to (c): No, Sir. Extension of Naupada-Gunupur line upto Theruvali was included in the Budget 2025-18 subject to requisite approvals (viz. NITI Aayog and Cabinet Committee on Economic Affairs). Detailed Project Report (DPR) of the project has been prepared. As per DPR, the cost of the project is approx. Rs.1274 crore with Rate of Return (-)3.19%.
State Government of Odisha has been requested for providing land free of cost and sharing 50% cost of the project as the project is financially unviable. Consent of Government of Odisha is awaited.
Project is put up to CCEA, only after completion of formalities like finalizing the funding mechanism of the project.
(d) and (e): Do not arise, as the project is not yet sanctioned.
Here’s a comprehensive overview of the Gunupur–Therubali Railway Line Project, based on the latest official sources and on-ground updates as of mid‑2025:
Contents
🚄 About the Project
- The Gunupur–Therubali New Line is a 73.62 km railway line sanctioned on 21 August 2025, to connect Gunupur (Rayagada district) with Therubali on the existing Broad Gauge network.
- Estimated project cost: ₹1,326 crore, scheduled for completion within five years (by 2029–30).
📍 Route & Alignment
- Gunupur Station currently lies at the terminus of the Naupada–Gunupur line, an older route that was gauge-converted and electrified in 2025.
- The new line extends north-west to Therubali, intersecting the Jharsuguda–Vizianagaram line—enhancing east–west connectivity in southern Odisha.
🔧 Status & Progress
- Final Location Survey (FLS) worth ₹9.65 crore approved by Railway Ministry on 11 February 2025 for this line, alongside the Gopalpur–Rayagada project.
- Land acquisition notification issued on 6 May 2025, covering 419 acres across Bissamkatak, Ramanaguda, Kolnara, and other villages in Rayagada district.
Venue: includes 7 planned stations along the corridor.
🌐 Strategic Significance
- This line forms part of Indian Railways’ economic corridor strategy, targeting integration of mineral-rich, aspirational regions in southern Odisha with major freight/logistics corridors.
- It is also planned alongside the doubling of the Naupada–Gunupur–Therubali line, to decongest the existing narrow-gauge corridors and support freight throughput in energy, cement, and mineral sectors.
🏗️ Construction Timeline
| Activity | Status / Timeline |
|---|---|
| Clearance & Sanction | 21 Aug 2025 |
| Final Location Survey (FLS) | ₹9.65 crore approved, Feb 2025 |
| Land Acquisition Notification | 6 May 2025 |
| Completion Target | Within 5 years (by 2029–30) |
- Seven new stations planned en route for enhanced regional access.
🗣️ Local Sentiment & Economic Impact
- Ground reports highlight the project’s criticality to link southern Odisha’s KBK region (Rayagada, Malkangiri, Gajapati, etc.) with coastal / mineral corridors.
- It’s viewed as a corrective effort to balance connectivity and economic equity compared to coastal clusters dominated by Vizag port.
✅ Project Summary
- Length: 73.62 km
- Cost: ₹1,326 crore
- Sanction Date: 21 Aug 2025
- FLS Funding: ₹9.65 crore (Feb 2025)
- Land Acquisition Launched: May 2025
- Stations: Seven proposed
- Completion Timeline: ~5 years
- Key Benefits: Freight & mineral corridor, regional economic boost, industrial access
🧭 What’s Next?
- Final location surveys to conclude, followed by land acquisition and tendering for civil works.
- Community and expert feedback suggests strong demand for further expansions like Gopalpur–Rayagada and Khurda–Balangir lines.
- Strong strategic alignment with PM-Gati Shakti vision and ambitious regional industrial tie-ups via Gopalpur Port.
Would you like:
- The only map or sketch alignment available?
- Details of the seven new stations and their locations?
- Updates on connected Odisha railway projects like Gopalpur-Rayagada or Khurda-Balangir?
Happy to help!