The Odisha government has approved a comprehensive package of measures to enhance the state’s semiconductor manufacturing, renewable energy sector, and irrigation infrastructure, aiming to attract investment and support social welfare programmes.
Odisha’s cabinet has approved a package of 10 measures aimed at strengthening the state’s semiconductor, renewable energy and irrigation plans, while also extending several welfare schemes and moving ahead with a broader digital administration push. The decisions, announced in Bhubaneswar, centre on policy changes designed to make the state more attractive to investors and to widen support for infrastructure and social programmes.
Chief Secretary Anu Garg said the government has revised the Odisha Semiconductor Manufacturing and Fabless Policy again after earlier changes in March 2024 and July 2025. According to the state, the latest amendment expands support beyond core chip-making to include semiconductor equipment manufacturing, research and development, the production of semiconductor-grade chemicals, gases and materials and other supply-chain inputs. The cabinet also approved extra fiscal support of 25% of eligible capital expenditure for projects cleared under the India Semiconductor Mission.
The semiconductor revisions follow a wider effort to position Odisha as part of India’s fast-growing electronics manufacturing base. Newsroom Odisha and other local industry reports said earlier versions of the policy focused on attracting chip manufacturing, fabless design units, interest subvention, production-linked incentives and skill development. The latest changes, officials said, are intended to deepen the ecosystem rather than rely only on large fabrication projects.
The cabinet also amended the Odisha Renewable Energy Policy, 2022, to improve investor confidence and support cleaner power supply. Under the revised framework, eligible net-metering consumers using renewable energy projects established in the state will receive an electricity duty exemption of 50 paise per unit for 10 years from commissioning. Standalone battery energy storage systems commissioned in Odisha will also get a state transmission utility charge exemption of 20 paise per unit.
In infrastructure, the government cleared the Parbati Giri Megalift Irrigation Project with an outlay of Rs 12,458 crore from state funds over five years from 2026-27 to 2030-31. The project is expected to create additional irrigation potential over 2,62,275 hectares through 161 projects across all districts. The cabinet also approved phase 3 of tank and minor irrigation improvement work, worth Rs 389 crore, which is expected to revive irrigation over 15,700 hectares.
Among the social measures, the state extended the Malati Devi Prak Vidyalaya Paridhan Yojana for five years from 2026-27 with a budget of Rs 586.50 crore to provide free uniforms and shoes to pre-school children in Anganwadi centres. It also renewed the Jashoda scheme and its Ashribad sub-scheme for five years with an outlay of Rs 296.99 crore, continuing support for children without biological parents or with incapacitated parents, children affected by HIV and those who lost a breadwinner during the Covid-19 pandemic. The cabinet further approved Odisha State Workflow Automation System 3.0 at a cost of Rs 122.60 crore to support paperless office operations.
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