Indus Basin, Permanent Indus Commission, upper riparian, lower riparian, Eastern Rivers, Western Rivers, Article IX, neutral expert, World Bank, Kishanganga project, Ratle project
transboundary water governance, hydro-diplomacy, treaty renegotiation, national interest vs international obligations, water security, Pakistan-India relations, regional cooperation, climate-resilient infrastructure
May 19, 2025
14
mins read
The Indus Water Treaty (IWT), signed in 1960 between India and Pakistan under the World Bank’s mediation, is regarded as one of the most enduring water-sharing agreements in the world. It provides a detailed legal and institutional framework for the equitable distribution and usage of the Indus River system between the two riparian states, even amidst wars and ongoing geopolitical tensions.
Under the treaty, the Eastern rivers—Ravi, Beas, and Sutlej—are allocated to India, while Pakistan retains control over the Western rivers—Indus, Jhelum, and Chenab. The agreement also established the Permanent Indus Commission and a structured three-tier dispute resolution mechanism, ensuring regular dialogue and resolution of technical and legal disputes.
However, the relevance of the IWT in the UPSC exam has grown significantly following recent developments. In response to the Pahalgam terror attack in April 2025, India suspended the treaty, altering the regional water equation. This move has given India greater leverage over the Western rivers, enabling enhanced hydropower generation, flood control, and reshaping regional geopolitics—particularly impacting Pakistan’s water security for agriculture and urban use.
Given its strategic, environmental, and diplomatic implications, the IWT is a highly important topic for UPSC Prelims (Current Affairs, Geography) and GS Paper II (International Relations, Bilateral Issues) in the Mains. A clear understanding of the treaty’s origin, provisions, dispute mechanisms, and recent geopolitical shifts is essential for a well-rounded UPSC preparation.
The roots of the Indus Water Treaty (IWT) trace back to the period of India’s Partition in 1947, when the boundary line between India and Pakistan was drawn across the Indus River Basin, a region critical for agriculture and water supply in both countries. The Indus River system, originating in the Tibetan Plateau, flows through India and Pakistan before draining into the Arabian Sea.
Key Developments Leading to the Treaty:
Partition and Riparian Conflict: The partition left Pakistan as the lower riparian, while India controlled the headworks of key irrigation canals, notably at Madhopur and Ferozepur. These supplied water to major agricultural regions in Pakistan, triggering immediate tensions over water rights and access.
Emergence of Disputes: The lack of a clear water-sharing mechanism post-Partition led to disputes, especially as India gained control over the canal headworks, while much of the command area of the irrigation system lay in Pakistan. Water flow interruptions exacerbated fears of water insecurity in Pakistan.
World Bank Mediation: Recognizing the strategic and humanitarian risks of continued conflict, the International Bank for Reconstruction and Development (World Bank) stepped in to mediate. After nearly a decade of technical negotiations, an agreement was reached.
Signing of the Treaty (1960): On September 19, 1960, the Indus Waters Treaty was formally signed by Indian Prime Minister Jawaharlal Nehru, Pakistani President Mohammad Ayub Khan, and W.A.B. Iliff, representing the World Bank. The treaty came into effect on April 1, 1960, establishing a robust framework for water-sharing and dispute resolution.
The treaty has since served as a key example of transboundary water cooperation, and is frequently cited in UPSC Mains (GS Paper II) under international relations and water governance, as well as in Prelims for its historical and geographical significance.
Table of content
The Indus Water Treaty Map below shows the route of the Indus River and its tributaries. The details analyzed through the map are mentioned below:
Indus River: It originates in Tibet, flows through India (Ladakh), and then into Pakistan.
Jhelum and Chenab: They flow through Jammu and Kashmir before entering Pakistan.
Sutlej, Beas, and Ravi: They flow through northern India and Punjab before entering Pakistan.
Indus Water Treaty Timeline
The Indus Waters Treaty, signed in 1960, regulates water-sharing between India and Pakistan. Over the years, water usage has become increasingly linked to national security and geopolitical tensions.
2013: A Court of Arbitration rules that India must maintain minimum flows from the Kishanganga Dam (a Jhelum tributary) and cannot draw down its reservoir below a certain level, safeguarding Pakistan’s downstream rights.
2016: After the Uri attack, India suspends Indus Commission meetings and pledges to maximize its share under the treaty, marking the first direct linkage between water policy and security.
2019: In response to the Pulwama attack, India reiterates full utilization of eastern rivers. Although legal, the move highlights growing politicization of the treaty.
2022: Due to stalled dispute resolution, the World Bank appoints both a Neutral Expert and a Court of Arbitration, reflecting deep procedural disagreement.
2023: India invokes Article XII(3) to propose treaty modifications, citing climate change, national development, and Pakistan’s alleged obstruction. Pakistan rejects the proposal.
2024: India issues formal notice to amend the treaty, calling it outdated and biased toward Pakistan. No agreement is reached.
2025: Post-Pahalgam attack, India announced a suspension of treaty obligations, demanding action from Pakistan against cross-border terrorism.
Key Provisions of the Treaty
The Indus Water Treaty sets out the terms for water sharing between India and Pakistan across the six rivers of the Indus system. Its key provisions include:
River Allocation:
Eastern Rivers (Ravi, Beas, Sutlej): Full control granted to India for consumptive and non-consumptive use, including agriculture, industry, and hydropower.
Western Rivers (Indus, Jhelum, Chenab): Primarily allocated to Pakistan. India can use these waters for non-consumptive purposes like hydropower, navigation, and limited agricultural use with specific design restrictions to ensure no storage or diversion that impacts flow.
Permanent Indus Commission (PIC): A bilateral body with representatives from both nations, tasked with data sharing, inspection, project monitoring, and holding annual and emergency meetings. It serves as the first line of dialogue in case of disagreements.
Design and Operational Restrictions: India must follow defined criteria for constructing any hydroelectric projects on the Western Rivers. These include restrictions on dam height, live storage, and flow releases to avoid impacting Pakistan’s water share.
Notification and Information Sharing: India must inform Pakistan in advance of any new project and share design information. Similarly, flow data and seasonal variations are exchanged regularly through the PIC.
Dispute Resolution Mechanism: The treaty outlines a three-tier process to resolve disputes:
Permanent Indus Commission (PIC): First level where both countries discuss issues bilaterally.
Neutral Expert: For technical disputes not resolved at the PIC level.
Court of Arbitration (CoA): For legal or treaty interpretation issues, usually invoked if earlier stages fail. This graduated system ensures structured escalation and aims to avoid international conflict over water-sharing disagreements.
India cannot interfere with the natural flow of Western rivers beyond the limitations set by the treaty, ensuring downstream continuity of water to Pakistan.
The suspension of the Indus Waters Treaty by India, following the Pahalgam terror attack, marks a turning point in regional water diplomacy. It poses severe challenges for Pakistan’s water-dependent agriculture and urban supply, while granting India enhanced control over western rivers, hydropower potential, and flood management, altering regional water dynamics significantly.
India has constructed several hydroelectric projects on the Western Rivers under treaty guidelines, many of which have faced objections from Pakistan:
Kishanganga Project (330 MW): On the Jhelum basin; Pakistan objected to water diversion. A Court of Arbitration allowed it with conditions.
Ratle Project (850 MW): On Chenab; under construction, contested for design features.
Pakal Dul (1,000 MW): On Chenab; opposed due to potential water control.
These projects remain significant for India’s energy goals but are often politicized by Pakistan.
Diplomatic Resilience: Despite conflicts, the treaty has endured, showing the power of institutionalized water diplomacy.
Geopolitical Leverage: India’s upper riparian status provides strategic influence, though bound by treaty norms.
Water Security: The treaty is vital for agriculture and hydropower in both nations.
Climate Concerns: Melting glaciers and erratic flows demand flexible treaty clauses for adaptation.
India has taken a series of strong measures following the Pahalgam terror attack, including suspending the Indus Waters Treaty, 1960. The treaty’s suspension would have serious consequences for Pakistan.
Water Dependency: Pakistan receives nearly 80% of Indus water flow, crucial for agriculture, irrigation, and drinking water in Punjab and Sindh.
Urban Water Supply: Major cities like Karachi, Lahore, and Multan depend directly on these rivers for daily water needs.
Agricultural Economy: Agriculture contributes 23% to GDP and supports 68% of the rural population, relying on 93% of water for irrigation.
Irrigation Backbone: The Indus basin delivers around 154.3 million acre-feet of water annually, essential for food security and farming.
Economic Impact: Disruption in water flow can lower crop production, increase food scarcity, and strain rural economies.
Existing Water Crisis: Pakistan already struggles with groundwater depletion, soil salinity, and weak water storage infrastructure.
Limited Storage: Reservoirs like Mangla and Tarbela together hold only 14.4 million acre-feet—just 10% of the annual allocation.
Loss of Security: Treaty suspension removes guaranteed water supply, worsening water management challenges and national vulnerability.
The implications for India following changes in the Indus Waters Treaty are significant. India now enjoys greater control over the western rivers—Jhelum, Chenab, and Indus—enabling increased flexibility in water usage, hydropower generation, and flood control. These developments mark a shift in regional water-sharing dynamics, reducing Pakistan’s oversight and potentially impacting bilateral relations.
Increased Control Over Western Rivers: Greater flexibility in the use of water from the Jhelum, Chenab, and Indus rivers.
Hydropower Generation: Potential for increased hydroelectric power generation without treaty-imposed design and operational limitations.
Flood Control and Water Storage: Ability to undertake flood control measures and mitigate floods in the Kashmir Valley. No restriction on storage in reservoirs on western rivers, particularly the Jhelum.
Non-Obligation to Share Flood Data: India may stop sharing flood data with Pakistan, affecting Pakistan’s flood preparedness, particularly during the monsoon season.
Suspension of Site Visits: India can deny access to Pakistani officials seeking to inspect Indian hydro projects, which were earlier mandated under the treaty’s provisions.
Limited Immediate Impact: Despite these expanded powers, the short-term impact is minimal because India currently lacks adequate infrastructure to halt or divert river flows effectively.
Challenges and Criticisms
Rigid Structure: Inflexibility to accommodate climate change and modern water usage patterns.
Dispute Resolution Delays: Legal loopholes allow prolonged disagreements.
Geopolitical Weaponization: Periodic calls in India to revoke or restrict the treaty after terrorist attacks raise ethical and legal debates.
Data Asymmetry: Concerns over real-time flow data and project transparency.
Transboundary water sharing is guided by various globally accepted principles and frameworks that aim to ensure equitable, reasonable, and sustainable use of shared water resources:
Helsinki Rules (1966): Emphasize equitable and reasonable utilization of international rivers while considering factors such as geography, hydrology, population dependence, and availability of alternatives.
UN Convention on the Law of the Non-Navigational Uses of International Watercourses (1997): Recognizes the principle of no significant harm and the obligation to cooperate, share data, and notify other states of planned measures.
Berlin Rules (2004): Broaden the scope by including groundwater, environmental protection, and the rights of future generations while reinforcing equitable use and sustainability.
Principle of Prior Notification: Any country planning major changes to shared water flow must inform other affected countries in advance.
No Significant Harm Principle: A nation must ensure that its water usage does not cause serious damage to other riparian states.
These principles are relevant when assessing or renegotiating treaties like the Indus Water Treaty in a changing geopolitical and ecological context.
The Indus River system is one of the largest and most complex transboundary river basins in the world, originating in the Tibetan Plateau and flowing through India and Pakistan before draining into the Arabian Sea. It consists of six major rivers:
Indus River: Originates near Lake Mansarovar in Tibet, enters India in Ladakh, flows through Jammu & Kashmir and Pakistan, and merges with the Arabian Sea near Karachi. It is the main river around which the entire system revolves.
Jhelum: Originates in Verinag (Jammu & Kashmir), flows through Wular Lake and into Pakistan-occupied Kashmir, joining the Chenab in Pakistan.
Chenab: Formed by the confluence of the Chandra and Bhaga rivers in Himachal Pradesh, flows through Jammu region into Pakistan.
Ravi: Originates near Rohtang Pass in Himachal Pradesh, flows along the India-Pakistan border before entering Pakistan.
Beas: Originates in Himachal Pradesh’s Kullu valley, merges with Sutlej in Punjab.
Sutlej: Originates near Mount Kailash in Tibet, enters India through Himachal Pradesh and flows into Pakistan after passing through Punjab.
These rivers form two groupings under the IWT:
Eastern Rivers (India's exclusive use): Ravi, Beas, Sutlej
Western Rivers (Pakistan's predominant rights): Indus, Jhelum, Chenab
The basin supports over 300 million people and is vital for irrigation, hydropower, drinking water, and ecological balance. Its management has implications for both regional food security and diplomatic stability.
💡 Quick Note for Aspirants: Want to master complex topics like the Indus Water Treaty and its recent developments for your UPSC IAS exam? The PadhAI App is your go-to platform for daily news analysis, previous year questions (PYQs), AI-powered tutor chat, mock tests, and CSAT practice. Stay ahead in UPSC Prelims and Mains, especially in key areas like international relations, hydro-diplomacy, transboundary water governance, and India-Pakistan bilateral issues!
Review Clause Activation: India’s 2023 notice opens space for modernizing the treaty.
Joint Climate Modelling: Collaborative basin-level adaptation strategy can be institutionalized.
Streamlining Legal Mechanisms: Avoid parallel processes and ensure quicker dispute resolution.
Transparent Data Sharing: Enhancing PIC’s tech capabilities can build mutual trust.
Regional Framework: Exploring SAARC-level or Indus Basin Organisation can expand cooperation beyond India-Pakistan.
The Indus Water Treaty, once hailed as a cornerstone of South Asian hydro-diplomacy, is increasingly being tested by climate change, rising energy demands, and escalating political tensions between India and Pakistan. While the treaty has demonstrated remarkable resilience since 1960, its ability to function as a peace-building instrument is now under scrutiny.
The recent suspension of the treaty by India, following the Pahalgam terror attack (April 2025), reflects a significant strategic shift, where water diplomacy is now intertwined with national security concerns. Prime Minister Narendra Modi’s assertion that “blood and water cannot flow together” encapsulates the growing frustration over cross-border terrorism and its impact on bilateral agreements.
Although aged, the treaty should not be discarded. Instead, it must be reformed and reimagined to address modern challenges—ensuring a balance between sovereignty, sustainability, and strategic interests. Moving forward, the future of the Indus Waters Treaty will depend on both nations' ability to adapt cooperation to contemporary realities while preserving regional stability.
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