Funding Delay Hampers Pune Ring Road Land Acquisition, District Administration Urges MSRDC to Release Pending Rs 3,614 Crore
Pune, 26th March 2025: While work on the Maharashtra State Road Development Corporation (MSRDC) Ring Road has commenced, a major funding hurdle has stalled the land acquisition compensation process. The Pune district administration has urged MSRDC to immediately release the pending ₹3,614 crore required to compensate landowners whose lands have been acquired for the project.
The Ring Road project, planned to ease traffic congestion in Pune and Pimpri-Chinchwad, has been divided into two phases: Eastern and Western. With all approvals secured and tenders awarded, 1,887 hectares of land across eight talukas are to be acquired at an estimated cost of ₹10,466 crore. The state government had set November 2024 as the deadline for land acquisition compensation distribution, and authorities were directed to complete the process by March 15, 2025.
Landowners Await Compensation Despite Acquisition
So far, over 80% of land acquisition for the Eastern Ring Road and 92% for the Western Ring Road has been completed. The MSRDC has disbursed ₹6,394 crore for the process, but the remaining ₹3,614 crore has not yet been allocated. As a result, compensation to farmers and landowners has been halted, leading to continuous complaints to the district administration.
In response, Pune District Collector Jitendra Dudi has formally written to MSRDC, urging immediate release of the pending funds. “Although a significant portion of land has been acquired, compensation distribution has stalled due to insufficient funds. It is crucial that the remaining amount is disbursed at the earliest to ensure smooth progress of the project,” Dudi stated in his letter.
Breakdown of Land Acquisition Funding
Eastern Ring Road
| Taluka | Acquisition Area (Ha) | Required Funds (₹ Cr) | Available Funds (₹ Cr) | Compensation Allocated (₹ Cr) | Balance Funds (₹ Cr) | Pending Funds (₹ Cr) |
|---|---|---|---|---|---|---|
| Maval | 228.38 | 1,288.55 | 977.15 | 925.54 | 51.61 | 311.40 |
| Khed | 294.68 | 1,815.00 | 1,507.54 | 1,423.92 | 83.61 | 307.46 |
| Haveli | 298.19 | 1,821.42 | 1,454.52 | 1,407.49 | 47.03 | 366.90 |
| Purandar | 275.06 | 988.16 | 501.32 | 451.29 | 50.03 | 486.84 |
| Total | 1,096.31 | 5,913.13 | 4,440.53 | 4,208.25 | 232.2 | 1,472.60 |
Western Ring Road
| Taluka | Acquisition Area (Ha) | Required Funds (₹ Cr) | Available Funds (₹ Cr) | Compensation Allocated (₹ Cr) | Balance Funds (₹ Cr) | Pending Funds (₹ Cr) |
|---|---|---|---|---|---|---|
| Maval | 141.43 | 1,805.53 | 1,309.01 | 1,236.46 | 72.55 | 599.40 |
| Haveli | 229.81 | 582.40 | 428.95 | 384.58 | 44.37 | 153.45 |
| Bhor | 141.92 | 264.94 | 121.67 | 94.13 | 27.53 | 143.27 |
| Total | 513.16 | 4,553.28 | 2,411.59 | 2,985.80 | 225.72 | 2,941.69 |
Next Steps for MSRDC and District Administration
With land acquisition nearly complete, authorities stress that further delays in compensation could lead to protests and legal disputes from landowners. The district administration has reiterated that immediate action is needed to prevent roadblocks in the project’s progress.
The MSRDC Ring Road is a crucial infrastructure initiative aimed at decongesting Pune’s roads. However, unless the pending ₹3,614 crore is disbursed promptly, the project’s timeline and execution may face significant hurdles.
