Indus Waters Treaty, 1960: The Definitive Guide to This Crucial Water Agreement

If the wars of this century were fought over oil, then the wars of the next century will be fought over water.” 
Ismail Seragladin, Vice President, World Bank, 1995

Indus

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Historical Background

The partition of India divided the Indus River basin. This division created a transboundary water dispute between India and Pakistan. The importance of this river system revolves around its vital role in agricultural purposes. In 1948, India briefly halted water flow to Pakistan’s canals, escalating tensions. The issue was raised in the United Nations by Pakistan in 1951. 

Mediation by the World Bank – In 1951, David Lilienthal, the former head of the Tennessee Valley Authority, suggested mediation to resolve the dispute. A working group of Indian, Pakistani, and World Bank engineers was formed in 1952. The group worked from 1954 to 1960. 

After the final report of the working group came, the Indus Waters Treaty was signed on September 19, 1960, in Karachi, Pakistan. The treaty is a signatory to the World Bank. 

Understanding the Indus River Basin 

The Indus River originates in the southwestern Tibet Autonomous Region of China and flows through the Kashmir region in India. It flows into the Khyber Pakhtunkhwa to drain into the north of the Arabian Sea near Karachi, Pakistan. The Indus River is joined by various tributary rivers in India, such as the Jhelum, Chenab, Sutlej, Rabi, and Beas. These are the eastern tributaries of the Indus, which are known as Saptnad. The Indus River basin has been used for irrigation and agriculture for time immemorial.

Provisions of the treaty

Under the treaty, nations agreed to give the waters of western rivers, Indus, Jhelum, and Chenab, to Pakistan and those of eastern rivers, Rabi, Beas, and Sutlej, to India. It also provided the funding and building of dams, link canals, barrages, and tubewells. The Tarbela Dam on the Indus River and the Mangla Dam on the Jhelum River were also part of it.  

The treaty contained the following provisions-  

Permanent Indus Commission was established to resolve disputes in water sharing. The conflicts will be resolved amicably with a mechanism for arbitration. 

  • As per the treaty, India can use the water from the western rivers for domestic and non-consumptive needs. Such needs are storage, irrigation, and electricity generation. 
  • The agreement allocates 20% of the river system’s waters to India and 80% to Pakistan.
  • In any flood protection or control scheme, both India and Pakistan will, as far as possible, avoid causing any significant damage to each other. 

The rivers’ natural channels may be freely used for discharging floodwaters or excess water by both India and Pakistan, with no claims for damages by either country.

Previous Issues of the treaty 

A significant point of contention arose when India completed the Kishanganga Dam in Kashmir in 2017. It also continued the construction of the Ratle hydroelectric plant on the Chenab River, which led to numerous protests in Pakistan. The World Bank attempted to resolve the conflict, but its efforts were unsuccessful. 

Ultimately, in 2022, a neutral expert chosen by India and a court of arbitration was appointed by the World Bank to resolve the ongoing conflicts. Tensions intensified in 2023 when India proposed a bilateral modification of the treaty, but Pakistan rejected the request. By 2024, India halted all meetings of the Permanent Indus Commission and demanded discussions for amending the treaty. 

Treaty held in ‘abeyance’ by India

The Indus Waters Treaty of 1960 will be held in abeyance with immediate effect until Pakistan credibly and irrevocably abjures its support for cross-border terrorism. 
Vikram Misri, Foreign Secretary, India 

April 2025 witnessed the deadliest civilian attack in decades in India-administered Kashmir. The Resistance Front (TRF), a militant group also known as Kashmir Resistance, claimed responsibility for the attack. After this incident, India announced that it would suspend the Indus Waters Treaty and accused Pakistan of supporting insurgents in the area.

References

https://www.britannica.com/event/Indus-Waters-Treaty

https://en.wikipedia.org/wiki/Indus_Waters_Treaty

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