BHUBANESWAR: The Railway Board notification revising the jurisdiction of South Coast Railway (SCoR) zone incorporating Palasa-Ichchapuram rail section from Khurda Road division of East Coast Railway (ECoR) has sparked a huge backlash in Odisha.
On April 2, 2026, the Railway Board authorised the transfer of Palasa-Ichchapuram rail section, a high revenue earning and strategically important stretch connecting Odisha and Andhra Pradesh, to Visakhapatnam division of SCoR. The move is seen as a significant reduction in ECoR’s jurisdiction, sparking accusations that the central government is prioritising development of Visakhapatnam-based SCoR over the interests of Odisha.
Leaders cutting across party lines have vehemently opposed this reorganisation arguing that the restructuring will create significant revenue loss for ECoR. The Opposition BJD and Congress accused the central government of compromising Odisha’s interest to appease the TDP-led government in Andhra Pradesh, a key constituent of the NDA alliance.
Addressing a press conference at Shankha Bawan, BJD vice-president Atanu Sabyasachi Nayak and party spokesperson Lenin Mohanty said the double-engine government has delivered a double blow to Odisha even as the state was celebrating Odisha Day. Instead of securing greater benefits for Odisha, the BJP-led governments at the Centre and the state were systematically weakening the East Coast Railway, which is the highest revenue-generating railway zone in the country, they said.
Referring to the earlier decisions, Nayak said,”Portions of Koraput and Rayagada districts have already been brought under SCoR about a year ago. Now, during Odisha Day celebrations, Palasa and Ichchapuram have been shifted out of ECoR. This raises serious concerns about the continued shrinking of Odisha’s railway jurisdiction.”
The BJD leaders also expressed disappointment that Railway minister Ashwini Vaishnaw, who represents Odisha, has miserably failed to safeguard the interest of the state. The party demanded immediate withdrawal of the decision and called for strengthening ECoR by bringing railway areas in Sundargarh, Keonjhar and Mayurbhanj districts under its jurisdiction.
Party’s Rajya Sabha MP Sasmit Patra also shot off a letter to Vaishnaw protesting the move. “This decision impacts Odisha, a state that contributes significantly to Indian Railways’ freight earnings through coal, minerals, and industrial output. Any diversion of jurisdiction over such high-revenue sections risks financial loss, weakens administrative control and dilutes Odisha’s role in railway network planning and prioritisation,” he stated, demanding immediate rollback of the decision.
Odisha Pradesh Congress Committee president and former Railway minister Bhakta Charan Das said the division’s formation is not dependent on the state’s geographical boundaries. He argued if Andhra Pradesh’s Palasa to Ichchapuram area are included in SCoR, then Odisha’s eastern areas like Lakshmananath, Balasore and western areas like Jharsuguda, Banspani and Bonai should also be part of East Coast Railway.
Labelling the Palasa-Ichchapuram section as the economic artery of south Odisha, Berhampur MP Pradeep Panigrahi demanded new railway division at Berhampur. In an X post, Panigrahi said, “I have formally written to Hon’ble CM Mohan Charan Majhi regarding the alarming reports of merging the Palasa-Ichchapuram rail section with SCoR (Vizag). We must protect Odisha’s railway sovereignty!”