Date : 21/07/2023
Relevance: GS Paper 2: Groupings & Agreements Involving India and/or Affecting India's Interests
Keywords: Court of Arbitration, Permanent Indus Commission (PIC), Kishanganga hydroelectric project, World Bank
Context-
- The Indus Waters Treaty (IWT) of 1960, governing the distribution of Indus water resources between India and Pakistan, has been hailed as a testament to cooperation between historically contentious neighbors.
- A recent arbitration case at the Hague-based Permanent Court of Arbitration raised questions about the treaty's adaptability to address changing water demands and climate challenges. Exploring the need to incorporate equitable and reasonable utilization (ERU) and the no harm rule (NHR) into the IWT to ensure sustainable water management and reduce tensions between India and Pakistan.
What is Indus Waters Treaty?
The Indus Waters Treaty (IWT) is an agreement between India and Pakistan that was signed on September 19, 1960, with the World Bank as a signatory. The treaty aims to provide a framework for the cooperative use and management of the waters of the Indus River and its tributaries between the two countries.
Key Provisions of the Indus Waters Treaty:
- Water Sharing: The treaty divides the six rivers of the Indus River System into two sets. The three western rivers, namely Indus, Chenab, and Jhelum, are allocated to Pakistan, giving it unrestricted use of their waters. The three eastern rivers, Ravi, Beas, and Sutlej, are allocated to India, granting it unrestricted usage of their waters. This means that 80% of the water share is given to Pakistan, while India receives the remaining 20%.
- Permanent Indus Commission: The treaty mandates the establishment of a Permanent Indus Commission (PIC) with permanent commissioners from both India and Pakistan. The PIC is responsible for facilitating cooperation, data exchange, and dispute resolution related to the implementation of the treaty. The commission is required to meet at least once a year.
- Rights over Rivers: While Pakistan has rights over the waters of Jhelum, Chenab, and Indus, India is allowed certain agricultural uses of these waters. Additionally, India is permitted to build "run-of-the-river" hydropower projects (projects not requiring significant water storage) under Annexure D of the treaty.
- Dispute Resolution Mechanism: The IWT provides a three-step dispute resolution mechanism. In case of any questions or differences, the matter can be resolved through the Permanent Indus Commission. If the issue remains unresolved, either country can approach the World Bank to appoint a Neutral Expert (NE). If there are still disputes after the NE's decision, matters can be referred to a Court of Arbitration.
Criticism of the Indus Waters Treaty:
- Over the years, the treaty has been seen as one of the most successful cross-boundary water dispute agreements. However, there have been several criticisms and challenges in its implementation:
- Technical Complexity: The provisions of the treaty are highly technical in nature, leading to different interpretations and misunderstandings between the two countries.
- Regional Disputes: The western rivers allocated to Pakistan are located in the disputed region of Jammu and Kashmir, which has been a source of tension between India and Pakistan since independence. This complicates the issue of water sharing.
Recent Developments and India's Intent to Modify the Treaty:
- In January 2023, the Indian government notified Pakistan of its intent to modify the IWT. India's decision was driven by Pakistan's objections to two Indian hydropower projects in Jammu and Kashmir – the Kishanganga hydroelectric project on the Jhelum River and the Ratle hydroelectric project on the Chenab River.
- India argues that these projects comply with the treaty's provisions on fair water use, but Pakistan has been uncooperative in resolving the matter through the bilateral mechanism of the Permanent Indus Commission.
- As a result, the World Bank appointed a neutral expert, and later, a Court of Arbitration to hear the arguments. India attended the hearings with the neutral expert but decided to boycott the Court of Arbitration at The
Hague, disagreeing with the sequencing of dispute resolution steps:
To address the challenges and demands of both countries amid the rising climate crisis, there is a need to update certain technical specifications and expand the scope of the agreement. Renegotiating the treaty terms could help address current concerns and foster better cooperation between India and Pakistan on water management.
Growing Disputes: The Need for Treaty Revisit
The IWT has seen numerous arbitration cases in the last decade, signaling the necessity to review the treaty's provisions. The recent case involving the Kishanganga and Ratle hydroelectric projects prompted India's objections to the jurisdiction of the Court of Arbitration. The court's decision to uphold its competence reflects the need for enhanced mechanisms in the treaty to address emerging challenges.
The Limitations of Fixed Allocations
The IWT's fixed allocation of water resources does not account for changing climatic conditions, posing challenges to meeting industrial and agricultural water needs. As water availability fluctuates due to climate change, a more flexible approach is essential to adapt to future conditions.
Embracing the Basin Approach
Partitioning the rivers between India and Pakistan contradicts the concept of treating the entire river basin as a unified entity. To build sustainable resource capacity, the IWT should encourage a basin-wide approach that optimizes water use for both countries.
Equitable and Reasonable Utilization (ERU) and No Harm Rule (NHR)
Incorporating ERU and NHR principles from international watercourse law into the IWT is crucial for promoting fair and rational water usage. ERU considers factors like climate change and seeks to balance competing interests, while NHR obliges riparian states to prevent harm to each other when undertaking projects on shared watercourses.
Balancing Priorities
India and Pakistan prioritize their uses of water resources based on their interpretations of the IWT. By incorporating ERU and NHR principles into the treaty, a common understanding can be reached, ensuring water use that benefits both nations.
The Role of the World Bank
As a party to the IWT, the World Bank can facilitate transnational cooperation by bringing together epistemic communities focused on Indus water use. Collaboration among experts can lead to convergent state policies and eventually the inclusion of ERU and NHR in the treaty.
Towards Sustainable Cooperation
Revisiting the IWT to include ERU and NHR principles is an essential step in addressing water challenges between India and Pakistan. By promoting equitable water utilization and preventing transboundary harm, tensions can be reduced, fostering a more sustainable and cooperative relationship.
Conclusion
The Indus Waters Treaty has been a commendable example of cooperation between India and Pakistan, but changing circumstances demand a reassessment of its provisions. By incorporating the principles of equitable and reasonable utilization and the no harm rule, the treaty can evolve to meet the growing industrial and agricultural needs of both nations while promoting sustainable water management and fostering trust between the two neighbors.
Probable Questions for UPSC main Exam-
- Explain the key provisions of the Indus Waters Treaty (IWT) and its significance in promoting India-Pakistan cooperation. Discuss the need to incorporate ERU and NHR for sustainable water management. (10 Marks,150 Words)
- Analyze the criticisms of the IWT and its limitations in addressing changing water demands. Propose updates to foster better cooperation, including a basin-wide approach and principles of ERU and NHR. (15 Marks,250 Words)
Source: The Hindu
