The civic body has identified four parks for development of green space and construct a new park at Baikuntha Nagar at the cost of Rs 98 lakh during 2016.
An agreement was signed among the state government, BMC and implementing agencies (PHEO) and Odisha State Sewerage Board) for implementation of AMRUT scheme. The corporation will get around Rs 57-crore in the first year of the five-year project under AMRUT.
"Priority will be given to water supply, sewerage and drainage along with development of green space in the first year," said BMC Commissioner Manoj Mohanty.
Around 1 per cent of the funds will be spent on development of the green space and park as per the scheme, the commissioner said.
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The project has assumed significance as currently the city has no green space, while many trees were uprooted when cyclone Phailin struck the town on October 13, 2013.
The sewerage system and water supply system of the town will be improved under the scheme to provide piped water to every household in the city within a stipulated time, officials said.