Paradeep Municipality was earlier Paradeep N.A.C., constituted vide H.&U.D. Deptt. Notification No. 31169/HUD, dtd. 27.9.79 and actually started functioning with effect from 18.9.1980. Subsequently this N.A.C. was upgraded to Municipality under section 424 of Orissa Municipal Act 1950 vide H. & U.D. Deptt. Notification no. 47302/HUD, dtd. 12.12.02. This Municipality comprises of only five Revenue villages namely
1. Udayachandrapur
2. Chauliapalanda
3. Sandhakud
4. Bijayachandrapur
5. Bhitargarh.