Indus Waters Treaty's Court of Arbitration ruling contested by India, citing concerns over jurisdiction, legitimacy, and competence.
India-Pakistan Indus Waters Dispute Remains Unresolved
The Indus Waters Treaty dispute between India and Pakistan remains a contentious issue following India's suspension of the treaty in April 2025. The suspension was in response to a terrorist attack allegedly linked to Pakistan, and India declared it would hold the treaty "in abeyance," effectively suspending cooperation under the agreement.
In June 2025, the Hague-based Court of Arbitration issued a ruling affirming its jurisdiction and authority to arbitrate disputes under the Indus Waters Treaty. The court unanimously decided that India's suspension does not limit its competence to resolve the dispute. However, India rejected the court's jurisdiction and ruling, citing a lack of jurisdiction, legitimacy, and competence.
Since the suspension, India has taken unilateral actions such as stopping water flow on the Chenab River and conducting off-season reservoir flushing, violating treaty provisions and escalating tensions. Pakistan has issued stern warnings, including threats to consider such disruptions acts of war and to retaliate, with nuclear undertones expressed by some Pakistani leaders.
The Indus Waters Treaty, signed in 1960 under World Bank mediation, has been considered a rare stable water-sharing agreement between the two countries, surviving multiple wars and crises through institutional mechanisms like the Permanent Indus Commission. However, the current political climate, population pressures, and hydrological challenges contribute to significant strain on the treaty's framework.
The Court of Arbitration delivered an "Award on Issues of General Interpretation" on August 8, 2025, in a case initiated by Pakistan over India's Kishenganga and Ratle hydroelectric projects. The award provides guidance on the design requirements for run-of-river hydroelectric plants, including the size and location of low-level outlets, gated spillways, and intakes for turbines. The Court held that its awards are final and binding on both parties and have a controlling legal effect on subsequent neutral experts and courts of arbitration.
However, the Court's August 8 Award does not apply its findings directly to the Kishenganga or Ratle projects. The Court remains seized of those matters and will determine next steps after consulting the parties. India has accused Pakistan of manipulating the treaty process to deflect from its support of terrorism.
India maintains that the dispute should be resolved through the Neutral Expert mechanism, as stipulated in the Indus Waters Treaty. The MEA reiterated that Pakistan must permanently renounce terrorism before India considers resuming its treaty obligations. Pakistan, on the other hand, seeks enforcement of the court's award and warns of possible severe repercussions.
The situation signals a major diplomatic and security challenge with unclear prospects for near-term resolution. The five-member Court, chaired by Professor Sean D. Murphy of the United States, with members from Belgium, the United States, Jordan, and Australia, issued a "supplemental award" on its competence concerning the Kishenganga and Ratle hydroelectric projects, which India considers illegal and void.
As of August 2025, the Indus Waters Treaty dispute between India and Pakistan remains a complex and volatile issue, with both countries maintaining their respective positions and the future of the treaty hanging in the balance.
- The ongoing dispute over the Indus Waters Treaty, a general-news topic, has sparked strong opinions in both India and Pakistan, particularly regarding India's suspension of the treaty in April 2025 and Pakistan's subsequent threats of retaliation, including nuclear undertones.
- The Court of Arbitration's ruling in June 2025, affirming its jurisdiction over the Indus Waters Treaty disputes, has been met with disagreement from India, leading to policy-and-legislation discussions about whether to accept the court's findings.
- As the Indus Waters Treaty dispute unfolds, war-and-conflicts remain a potential consequence, as both countries continue to show signs of escalating tensions, making it a significant issue in the realm of politics.
