Neutral Expert’s Decision on Indus Waters Treaty Dispute

• 25 Jan 2025

In January 2025, the Neutral Expert appointed by the World Bank has affirmed jurisdiction to adjudicate differences between India and Pakistan on two hydroelectric projects, supporting India’s position under the Indus Waters Treaty (IWT).

Key Points

• Indus Waters Treaty (IWT): Signed in 1960 between India and Pakistan to regulate Indus River System water sharing. India controls Eastern Rivers (Beas, Ravi, Sutlej), while Pakistan controls Western Rivers (Indus, Chenab, Jhelum).
• Provides a three-tier dispute resolution mechanism: Indus Commissioners, Neutral Expert, and Permanent Court of Arbitration (PCA).
• Nature of the Dispute: Pakistan objects to the designs of Kishenganga and Ratle hydroelectric projects in Jammu & Kashmir. Despite being run-of-the-river projects, Pakistan alleges Treaty violations.
• Neutral Expert’s Decision: Affirmed jurisdiction to assess differences, validating India’s stance.
• Declared competent to proceed after analyzing arguments from both countries.
• Will hear further arguments before ruling on project-specific objections.