The Centre on Wednesday released Rs 45.63 crore to the State under the Atal Mission for Rejuvenation and Urban Transformation (AMRUT) in the first phase.
Bhubaneswar was among nine cities in Odisha that was selected to receive funds for its development under the Centre's AMRUT project.
According to the Central scheme, Rs 100 crore would be given to each city in five phases over five years for development of water supply system, sewerage and septic tank management, storm water drainage to reduce flooding, introduction of non-motorised public transport and revamp of green space.
On Wednesday, the Centre released the first phase assistance of Rs 1,062 crore for 13 States, including Odisha, under the scheme.
launched on April 29 this year, the AMRUT is aimed at transforming 500 cities and towns into efficient urban living spaces, with special focus on a healthy and green environment for children.