Thane, August 18, 2026: In a significant breakthrough for one of the Mumbai Metropolitan Region's most crucial infrastructure projects, the long-pending compensation issue linked to the Kalyan-Shilphata Road widening project has finally been resolved, paving the way for the accelerated completion of the arterial corridor connecting Thane, Navi Mumbai and Kalyan-Dombivli.

The Maharashtra State Road Development Corporation (MSRDC) has approved compensation worth Rs 138.45 crore for local landowners affected by the road expansion project, bringing an end to a dispute that had remained unresolved for nearly 35 years.

The compensation letters were formally handed over to the beneficiaries during a meeting held on Tuesday in the presence of Kalyan MP Dr Shrikant Shinde. MSRDC Managing Director Anilkumar Gaikwad presented the compensation documents to the affected landowners.

The resolution of the long-standing issue is being attributed to the sustained efforts of Dr Shrikant Shinde and Kalyan Rural MLA Rajesh More, both of whom had repeatedly pursued the matter with the state government and senior administrative officials.

Road Expansion Delayed By Compensation Dispute

The Kalyan-Shilphata Road is one of the most strategically important transportation corridors in the Mumbai Metropolitan Region, linking Kalyan, Dombivli, Thane and Navi Mumbai. The road serves as a vital route for daily commuters, commercial vehicles and industrial traffic.

The ongoing six-lane expansion and concretisation project is being executed by the MSRDC. However, the project had faced repeated delays due to disputes over compensation for acquired land.

Affected farmers and local landowners had strongly opposed the project, alleging that they had not received adequate compensation for their acquired properties. Their demand for compensation before the commencement of construction had led to work being stalled at several locations.

The impact of the delay was particularly evident in traffic bottlenecks at Katainaka, Palava Junction and the Shilphata area, where motorists frequently encountered severe congestion. Thousands of office-goers travelling between Kalyan, Dombivli, Thane and Navi Mumbai were forced to spend hours navigating traffic snarls.

Officials Pursued Compensation Resolution

Recognising the seriousness of the issue, Dr Shrikant Shinde reportedly raised the matter at multiple levels within the state administration and urged the authorities to ensure that affected landowners received fair compensation.

Rajesh More also played a key role by maintaining constant follow-up with the administration and advocating for a resolution that would balance infrastructure development with the rights of local residents.

After several rounds of discussions and administrative deliberations, the authorities approved compensation amounting to Rs 138.45 crore, effectively ending a decades-old dispute.

The event was attended by Mumbai Metropolitan Region Development Authority (MMRDA) Commissioner Sanjay Mukherjee, District Collector Srikrishna Panchal, former Maharashtra Navnirman Sena (MNS) MLA Raju Patil, KDMC Mayor Harshali Chaudhary and a large number of affected landowners.

According to MSRDC officials, the remaining compensation amount will also be distributed in the near future.

Six-Lane Work Expected To Gain Momentum

With the compensation issue now resolved, officials expect the stalled six-lane expansion and concretisation work to gather momentum.

The completion of the project is expected to significantly improve traffic movement for commuters travelling from Kalyan, Dombivli, Ambernath and Badlapur to Navi Mumbai, Thane and Mumbai. Authorities believe the upgraded corridor will not only reduce travel time and fuel consumption but also improve overall connectivity across the region.

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Kalyan-Shilphata Road Widening: MSRDC Sanctions ₹138.45 Crore Compensation For Affected Landowners