What are the key features of the Indus Water Treaty?

The IWT was signed on September 19, 1960, by Indian Prime Minister Jawaharlal Nehru and Pakistani President Ayub Khan, with the aim of regulating the use of water from the Indus River and its tributaries between India and Pakistan after extensive negotiations facilitated by the World Bank.

• Permanent Sharing of Water: The IWT ensures a clear division of water resources, allowing peaceful coexistence of water usage.
• Run-of-the-River Projects: India is allowed to build hydroelectric power projects on the Western Rivers, provided they do not obstruct natural river flows.
• Role of the World Bank: As a mediator, the World Bank facilitates the appointment of experts or arbitral bodies in case of disputes.
• Modification Provisions: Article XII (3) allows amendments to the Treaty through mutual consent.

What are the Disputes around the Indus Water Treaty?

• Run-of-the-River Projects: India’s construction of run-of-the-river hydroelectric projects, such as Kishanganga (a tributary of Jhelum) and Ratle (on the Chenab) has faced objections from Pakistan. Pakistan claims these projects could disrupt downstream water flow and utilisation, while India asserts they comply with the provisions of the Indus Waters Treaty (IWT).
• Dispute Resolution Mechanism: Pakistan sought arbitration at the Permanent Court of Arbitration (PCA), but India contested its jurisdiction and emphasised using the Neutral Expert process as outlined in the treaty. India views this process as a treaty-compliant method for resolving technical differences:
  • Whether the pondage capacity of the two dams follows the limits set by the Indus Waters Treaty (IWT).
  • Whether the turbine intakes in the design comply with the rules of the IWT.
  • Whether the outlets below the dead storage level meet the IWT guidelines.
  • Whether the gated spillway designs of each plant align with the IWT provisions.
• Trust Deficit: The lack of trust and strained relations between India and Pakistan undermines effective cooperation under the IWT. This atmosphere of distrust restricts constructive dialogue and hinders the timely resolution of disputes, affecting the treaty’s overall effectiveness.
• Climate Change Impacts: Changing precipitation patterns and altered runoff due to climate change challenge the treaty’s assumption of fixed water availability. The IWT does not account for these uncertainties, increasing the risk to water-sharing agreements.
• Evolving Needs: The treaty’s framework does not address the rising industrial and agricultural demands of both countries. Growing population and economic activities highlight the need for flexible mechanisms to ensure equitable and sustainable resource sharing in the future.