Syllabus:  

GS-2: India and its neighborhood relations and Bilateral, regional, and global grouping and agreements involving India and/or affecting India’s interests.

Context: 

For the first time since it was signed in 1960, India has decided to suspend the Indus Waters Treaty (IWT), a landmark agreement that has endured through four wars, cross-border terrorism, and decades of hostility between India and Pakistan.

More on the News:

• The decision was taken on April 23, 2025, after a terror attack in Pahalgam in which 26 Indian tourists were killed by Pakistani terrorists. In response, India placed the treaty in abeyance, which entails:

• Suspension of periodic communication on hydrological data.
• No updates to Pakistan on infrastructural works on the Indus, Jhelum, and Chenab rivers (Western rivers).
• A possible halt in convening the Permanent Indus Commission, which hasn’t met since 2022.

• There is no clause in the IWT that allows for revival after suspension or revocation.

• Pakistan cannot appeal to the International Court of Justice (ICJ) to compel India to implement the treaty, due to India’s reservations under the ICJ statute that block such cases from Pakistan. These reservations are centered around:

• Hostilities or armed conflicts.
• Acts of self-defence or resistance to aggression.
• National security or defence measures.
• Related obligations imposed by international bodies.

About the Indus Waters Treaty (IWT): 

• It is a landmark transboundary water-sharing agreement signed between India and Pakistan in September 1960, facilitated by the World Bank, to manage the distribution of water from the Indus River System, which consists of six rivers: Indus, Jhelum, Chenab, Ravi, Beas, and Sutlej. 
• These rivers originate from Tibet and flow through the Himalayan ranges into India and Pakistan, which makes Pakistan as the lower riparian state. 

Key Provisions of the Treaty:

India’s Rights and Restrictions:

• According to Article III (1) of the IWT, “India is under obligation to let flow” waters of the Western Rivers to Pakistan.
• India is also permitted to build "run of the river" hydropower projects, which do not require live storage of water. However, it must share project details with Pakistan, which has 3 months to raise objections. 

Article IX of the Treaty establishes a three-step Dispute Resolution Mechanism:

• Permanent Indus Commission: First level, where representatives from both countries discuss and attempt to resolve disputes.
• Neutral Expert: If technical differences or unresolved questions remain, either country can request the World Bank to appoint a Neutral Expert (NE) to make a decision. 
• Court of Arbitration: If either party disagrees with the NE’s decision or if there are disputes about the treaty's interpretation, the issue can be referred to a Court of Arbitration. 

• According to the treaty, neither India nor Pakistan can unilaterally withdraw from the agreement, but Article XII allows for modifications to the treaty provisions only through a “duly ratified treaty” that both governments must mutually agree upon, essentially meaning any changes require the consent of both parties involved. 

Key Implications of the Suspension:

• End of Data Sharing: India can stop sharing real-time water flow data with Pakistan.
• No Operational Restrictions: There will be no design or operational constraints on India regarding the use of water from the Indus and its tributaries.
• Storage Rights on Western Rivers: India can now develop storage infrastructure on the Western rivers — Indus, Jhelum, and Chenab.
• Restricted Access for Pakistan: India can halt visits by Pakistani officials to hydroelectric projects under construction in Jammu & Kashmir, such as:
• Kishenganga Hydroelectric Project on the Kishenganga (a Jhelum tributary)
• Ratle Hydroelectric Project on the Chenab

• Reservoir Maintenance Freedoms: India can carry out reservoir flushing at projects like Kishenganga — a sediment removal technique that extends dam life — without requiring Pakistan’s concurrence.

Practice mains Question:

Q. In light of India’s decision to suspend the Indus Waters Treaty following a major terror attack, critically examine whether terrorism should be considered a legitimate reason for re-evaluating or suspending bilateral treaties.

Mains PYQ: 

Q. Terrorist activities and mutual distrust have clouded India–Pakistan relations. To what extent the use of soft power like sports and cultural exchange could help generate goodwill between the two countries. Discuss with suitable examples. [2015]