In the wake of escalating tensions and the declared abeyance of the Indus Waters Treaty (IWT), India is aggressively pursuing the development of hydropower projects on the Chenab River, setting ambitious deadlines for their completion. This move has been interpreted by some as a strategic assertion of control over the river's resources, a critical lifeline for Pakistan.
Following the Pahalgam terror attack in April 2025, India announced the Indus Water Treaty, 1960 (IWT) would be held in “abeyance” until Pakistan credibly and irrevocably abjures its support for cross-border terrorism. India has not withdrawn from the treaty, nor has it diverted water flows or breached allocation quotas. Rather, India has temporarily suspended procedural cooperation, i.e. participation in dispute resolution forums, joint mechanisms, and routine diplomatic engagements tied to treaty operation.
At the forefront of these projects is the 1,856 MW Sawalkote Hydropower Project, which was granted environmental clearance in October 2025 and has been designated as a project of national importance. This run-of-the-river initiative features a 192.5-meter-high dam and an underground powerhouse, with the capacity to generate 8,000 million units of electricity annually. The project is planned in two stages; the first stage will have six 225MW units and one 56MW unit, followed by two additional 225MW units in the second stage. The project covers 1,401 hectares, including 847 hectares of forest land, and will displace local communities.
Adding to this momentum, India's Ministry of Environment has authorized the 260 MW Dulhasti Stage-II hydropower project in the Kishtwar district of Jammu and Kashmir. This project, an extension of the operational 390 MW Dulhasti Stage-I, will utilize water diverted from the existing stage via a 3.7 km tunnel. The setup includes a pressure shaft, a surge shaft and an underground powerhouse housing two 130MW turbines, for a total capacity of 260MW. The Expert Appraisal Committee's approval paves the way for construction tenders for this project, estimated to cost over ₹3,200 crore. The land required totals 60.3 ha, of which 8.27 ha will be sourced from private land in the villages of Benzwar and Palmar, also in Kishtwar district.
Other projects, including Ratle (850 MW), Kiru (624 MW), and Kwar (540 MW), are currently under construction. Additionally, schemes like Bursar, Pakal Dul, and Kirthai I & II are in advanced planning stages. These projects reflect a coordinated effort to maximize hydropower generation in the Indus basin.
Pakistan has strongly protested India's actions, viewing them as a weaponization of water and a violation of the IWT. Pakistan's Commissioner for Indus Waters, Syed Muhammad Mehar Ali Shah, asserted that the treaty remains fully binding under international law and that India cannot unilaterally suspend, breach, or terminate it. He cautioned that any attempt by India to reduce water flows to Pakistan would be considered an "act of war". Shah also mentioned that Chenab, Jhelum, and Indus have been flowing normally, though India created three episodes since April 24, 2025, altering flows for a few days.
The IWT, brokered by the World Bank in 1960, has been a cornerstone of water-sharing between India and Pakistan, allocating the eastern rivers (Ravi, Beas, Sutlej) to India and the western rivers (Indus, Jhelum, Chenab) to Pakistan. While the treaty permits India limited use of the western rivers for non-consumptive purposes like hydroelectricity, it does not allow for unilateral suspension or modification.
India's decision to fast-track these projects and declare the IWT in abeyance has ignited a complex legal and diplomatic debate. While India maintains its actions are technically compliant and driven by energy security concerns, Pakistan views them as a challenge to its water rights and a threat to regional stability. The future of the Indus Waters Treaty and its impact on the region remains uncertain as both nations navigate this contentious issue.
