The coastal region is an important region for a habitat of wildlife, food source, resources and minerals, recreation area, beneficial location for industries (Carter, 1988). Coastal regions provide invaluable ecosystem services for human in direct and indirect way. Due to their precious environment and resources for human, economic and cultural activities, they have attracted huge population and developmental activities. All these have created pressures on coastal environment, inducing rapid changes (Mimura, 2008). Coastal zones are very sensitive areas and all the human activities are affecting the area and are of important environment concern now. Although, human activities like aquaculture, mining and tourism are helping to boost economy and providing employment opportunity to the local people but they are also polluting and creating harm to the environment to a great extent. The paper presents the study of environmental impacts of aquaculture activity along Mhasla creek and Shriwardhan Bay area of Raigad District. This study has taken into consideration physical, geographical, ecological and socio-economic components to analyze the environmental impacts of aquaculture in different areas of Raigad district. To assess the impacts, Rapid Impact Assessment Matrix (RIAM) has been used and the results have been clearly showed that there are major negative impacts on the environment like loss of biodiversity, air, water and noise pollution, salinization in nearby farms and damage to coastal areas. The aquaculture sites in the study area are along the Mhasla creek and Shriwardhan bay area and are responsible for creek water pollution, loss of aquatic biodiversity and loss of coastal aesthetics in the area. As per EIA, the farm owners need to treat drain water in such a way which will not pollute the creek water but many farmers are failed to do the same. These negative impacts can be minimized by adopting sustainable and local environment suitable farming methods. However, aquaculture also has positive impact on the region like employment opportunities, financial and economic development of a region, state and ultimately the nation as well.