For decades, the Indus Waters Treaty functioned as a deeply uneven water-sharing arrangement between India and Pakistan. Often described as a symbol of goodwill under the idea of “Aman ki Asha,” the treaty, in reality, reflected a one-sided expectation of peace that India upheld even when Pakistan failed to reciprocate.

That fragile understanding finally collapsed when the Modi government decided to place both the treaty and the idea of “Asha” in abeyance, acknowledging that genuine peace was never forthcoming from Pakistan’s side.

Against this backdrop, on 5th January 2026, Union Power Minister Manohar Lal Khattar undertook an inspection of several hydropower projects along the Chenab River, signalling a clear policy shift toward protecting India’s water interests. The visit spanned two days and focused on accelerating stalled or restricted projects that had long been constrained under the treaty.

On the first day, Minister Khattar visited the Salal Power Station in Jammu and Kashmir’s Reasi district. During the inspection, he instructed officials of the National Hydroelectric Power Corporation to speed up silt removal from the reservoir. This step is aimed at increasing storage capacity and ensuring better and more efficient use of available water, something that had not been fully possible earlier due to treaty limitations.

Later the same day, the minister travelled to the Kishtwar district, where he laid the foundation stone for dam concreting works at the 850 megawatt Ratle Hydropower Project. He stressed the importance of maintaining strict quality and safety standards and made it clear that timely completion of the project was a priority for the government.

On the second day of his visit, Minister Khattar reviewed progress at three major projects under the Chenab Valley Power Projects. These included the 624 MW Kiru project, the 1,000 MW Pakal Dul project, and the 540 MW Kwar hydropower project. After discussions with senior officials, he directed them to ensure that Pakal Dul is commissioned by December 2026, while the Kiru project should be completed by March 2028.

Sharing details of his visit on social media, the minister wrote, “An inspection and review of the progress of the Kiru (624 MW) and Kwar (540 MW) hydroelectric projects located in Kishtwar was conducted. Necessary directives were issued to the officials and engineers to ensure the completion of work in these two important projects in accordance with high quality, safety standards, and the stipulated timeline. These projects will not only establish a new benchmark in the production of green and renewable energy in Jammu and Kashmir but will also strengthen regional development and infrastructure, thereby creating direct and indirect employment opportunities for the local people.”

At a time when the Indus Waters Treaty stands suspended, India is clearly fast-tracking hydropower development in the upper Chenab basin. The broader objective is to strengthen energy security, make full use of its water resources, and put an end to Pakistan’s long-standing practice of drawing an unfair share of India-origin waters.

Indus Waters Treaty and India’s Push to Secure Its Rightful Water Share

The Indus Waters Treaty was signed on 19th September 1960 in Karachi, with the World Bank acting as a broker between India and Pakistan. Signed by Prime Minister Jawaharlal Nehru and Pakistan’s Field Marshal Ayyub Khan, the agreement governed the sharing of waters from six Himalayan rivers. These rivers were divided into eastern and western categories.

Under the treaty, the eastern rivers Ravi, Beas, and Sutlej were allocated to India, while the western rivers Indus, Chenab, and Jhelum were given to Pakistan. In terms of volume, the arrangement heavily favoured Pakistan. India retained control over only about 20 per cent of the total water flow, amounting to roughly 33 million acre-feet or 41 billion cubic metres annually. Pakistan, on the other hand, received nearly 80 per cent, which translated to around 135 million acre-feet or 99 billion cubic metres.

Although the treaty allowed India limited non-consumptive use of western rivers, such as hydropower generation, it strictly prohibited blocking or significantly altering water flows into Pakistan. India continued to use the eastern rivers for irrigation, hydropower, and other needs, while Pakistan depended heavily on the Indus, Jhelum, and Chenab for agriculture, power generation, and daily water supply. The Indus, in particular, became Pakistan’s lifeline.

While the treaty was celebrated internationally as a landmark step toward cooperation, it was far from balanced. The western rivers allocated to Pakistan carried significantly higher water volumes, giving Pakistan a structural advantage. This imbalance became even more glaring when Pakistan attacked India just five years after signing the treaty, exposing the hollow nature of the promised peace.

It was earlier reported that Prime Minister Nehru signed the treaty without seeking approval or even holding a detailed discussion in the Indian Parliament. Over the years, Pakistan repeatedly used the treaty to assert claims over the Indus river system, even as it continued to sponsor terrorism against India.

After decades of betrayals and terror attacks, particularly following the April 2025 Pahalgam attack, India finally severed what remained of the fragile “Aman ki Asha” thread. The government suspended the Indus Waters Treaty and launched Operation Sindoor, marking a decisive shift in policy.

Since then, Pakistani politicians and military leaders have issued repeated threats, warning of severe consequences if the treaty is not restored. Pakistan even approached the International Court of Arbitration in an attempt to pressure India. Despite nuclear threats and international posturing, the Modi government has remained firm and continued strengthening India’s hydropower and water infrastructure.

Kishanganga Hydropower Project Strengthens India’s Water Utilisation

India’s efforts to fully utilise its share under the Indus Waters Treaty gained momentum after the 2016 Uri attack. Since then, the focus has steadily shifted toward building infrastructure that allows better use of both eastern rivers and the limited rights over western rivers.

A key milestone in this direction came in May 2018, when Prime Minister Modi inaugurated the Kishanganga hydropower project on the Jhelum river in Jammu and Kashmir. The project is capable of generating over 300 megawatts of electricity and can irrigate at least 30,000 hectares of land. It stores around 0.65 million acre-feet of water from the Ujh river.

Despite strong objections from Pakistan, construction of the Kishanganga project, which began in 2007, moved forward. Located on tributaries of the Indus system, the project marked a firm assertion of India’s rights within the treaty framework at the time.

Ratle Hydropower Project Gains Momentum After Treaty Suspension

The Ratle hydropower project is a joint venture between the National Hydroelectric Power Corporation and the Jammu and Kashmir State Power Development Corporation. NHPC holds a 51 per cent stake, while JKSPDC holds 49 per cent. Executed through the Ratle Hydroelectric Power Corporation Limited, the project is an 850 MW run-of-the-river scheme on the Chenab in Kishtwar.

The project includes a 133-metre-tall gravity dam and an underground powerhouse with four 205 MW Francis turbine units. Once operational, it is expected to generate around 3,137 million units of electricity annually.

In 2017, Pakistan raised objections over the project’s design, claiming its pondage and spillway features violated the Indus Waters Treaty. India consistently maintained that the design fully complied with run-of-the-river norms. While progress was slow initially and the project reached only about 25 to 26 per cent completion, construction picked up pace after the treaty was suspended in 2025.

Shahpurkandi Barrage Ends Decades of Water Wastage

For years, India allowed a portion of its allocated water to flow unused into Pakistan due to a lack of storage and diversion infrastructure. This changed with the completion of the Shahpurkandi Barrage in 2024. The barrage now diverts around 1,150 cusecs of water to Jammu and Kashmir and Punjab for irrigation, significantly reducing water flow into Pakistan.

Earlier projects such as the Bhakra Dam on the Sutlej, Pong and Pandoh dams on the Beas, and the Thein dam on the Ravi laid the foundation for better water management. Along with initiatives like the Indira Gandhi Nahar Project and the Beas-Sutlej link, India is now able to use nearly 95 per cent of eastern river waters.

Reservoir Capacity Expansion at Salal and Baglihar

Following the Pahalgam terror attack, India began work to increase reservoir holding capacity at the Salal and Baglihar hydropower projects. No expansion work had been carried out at these sites since their construction in 1987 and 2008–09, respectively, as the Indus Waters Treaty prohibited such activities. With the treaty suspended, India has moved ahead without considering Pakistan’s objections and is building infrastructure to harness the Indus system as per national requirements.

Revival of the Ujh Multipurpose Project

The Modi government is also reviving the long-pending Ujh multipurpose project in Kathua district of Jammu and Kashmir. The Ujh, a tributary of the Ravi, will be used for hydropower, irrigation, and drinking water. Plans also include a second Ravi-Beas link below Ujh to prevent excess Ravi water from flowing into Pakistan. This will involve building a barrage and a tunnel to transfer water to the Beas basin.

Feasibility Study for Inter-Basin Water Transfer

In June 2025, India outlined an ambitious inter-basin water transfer plan to fully utilise its Indus waters share. A feasibility study is underway for a 113-kilometre canal that will divert surplus water from Jammu and Kashmir to Punjab, Haryana, and Rajasthan by linking the Chenab with the Ravi-Beas-Sutlej system.

The project aims to connect 13 existing canal structures across multiple states and ultimately feed water into the Indira Gandhi canal system. This would help balance water availability across regions, even amid climate change and shifting rainfall patterns.

Ranbir Canal Expansion to Support Water Diversion

To support the proposed canal network, the central government plans to double the length of the Ranbir canal from 60 kilometres to 120 kilometres to draw more water from the Chenab. Based on feasibility studies, efforts will also be made to fully utilise the Pratap canal. These initiatives complement short-term measures like desilting at Salal and Baglihar.

Fast-Tracking Storage-Based Projects After Treaty Suspension

After suspending the Indus Waters Treaty in 2025, India accelerated several storage-based projects in the upper Chenab basin that were earlier restricted. Among them is the long-stalled 1,856 MW Sawalkote project. In October 2025, it received environmental clearance and a renewed budget of Rs 31,380 crore. Spread across Ramban, Reasi, and Udhampur districts, the project is expected to generate around 7,534 million units of electricity annually.

Similarly, the second stage of the 390 MW Dulhasti project received clearance in December 2025. Under Stage II, water from Stage I will be diverted through a tunnel to create a horseshoe-shaped pondage, supported by additional shafts and an underground powerhouse with two 130 MW units.

Delays in these projects were largely due to treaty-mandated design restrictions, information-sharing requirements, and repeated objections raised by Pakistan. India had already issued notices in 2023–24 seeking modifications to the treaty, citing unresolved disputes and changing environmental and demographic realities. Diplomatic efforts continued until the Pahalgam attack forced a decisive response.

The stakes are particularly high for Pakistan. The Indus system contributes about 25 per cent of its GDP, supports major crops like wheat, rice, sugarcane, and cotton, and provides most of its renewable water supply. Pakistan relies on the Indus basin for nearly 75 per cent of renewable water, irrigates up to 90 per cent of farmland through it, and generates up to 30 per cent of its electricity from hydropower.

If India significantly reduces flows from the Indus, Jhelum, and Chenab, Pakistan could face severe agricultural decline and food insecurity. For India, however, shelving the treaty has opened the door to unlocking the full hydropower potential of the Indus basin, long restricted by artificial caps and diplomatic constraints.