CoA says it's competent to deal with Indian Waters Treaty dispute; MEA terms court illegal

New Delhi: The Hague-based Court of Arbitration (CoA), examining the design of Kishanganga and Ratle hydropower projects at Pakistan's behest, in a 'supplementary award' declared that it was competent to address the dispute under the Indus Waters Treaty (IWT) despite India's decision to put the agreement in abeyance.

India, however, firmly rejected this order, terming the court itself as "illegal" - a position taken much before the Pahalgam attacks. New Delhi had decided to cooperate only with neutral expert, asserting that two simultaneous processes cannot be in play.

"This latest charade at Pakistan's behest is yet another desperate attempt by it to escape accountability for its role as the global epicentre of terrorism. Pakistan's resort to this fabricated arbitration mechanism is consistent with its decades-long pattern of deception and manipulation of international forums," Ministry of External Affairs said.


India has maintained that the constitution of this "so-called arbitral body" is a "serious breach" of IWT. It has not participated in any of the proceedings of the court. Thus, MEA said, any award or decision is "illegal and per se void".

India made it clear that the treaty will remain in abeyance until Pakistan "abjures its support for cross-border terrorism". MEA added India is not bound by any obligations under the treaty. "No Court of Arbitration, much less this illegally constituted arbitral body which has no existence in the eye of law, has the jurisdiction to examine the legality of India's actions in exercise of its rights as a sovereign."

Court of Arbitration ruling
CoA, however, said the text of the treaty "does not provide for the unilateral 'abeyance' or 'suspension' of the treaty... Rather, the treaty provides for its continuation in force until terminated by mutual consent by India and Pakistan... Accordingly, the text of the treaty, read in light of its object and purpose, does not allow either." CoA has held that these findings apply similarly with respect to the competence of the neutral expert.

The 330 MW Kishanganga dam project became the first project to go to the Court of Arbitration (CoA) and persists till date before a ‘Neutral Expert’-- amid a series of halts and objections starting from 2010 on.

The 2013 CoA judgment was a mixed bag for India- allowing water diversion from the Kishanganga/Neelum river for the project but asking India to maintain a minimum flow of water in the river.

A dissatisfied Pakistan sought yet another CoA on Kishanganga project design concerns in 2016.

Alongside, it moved for another arbitration on the 850 MW Ratle project in 2012.

In fact, simultaneous proceedings were initiated at the World bank by Pakistan on the two projects in 2022 at both CoA and Neutral Expert levels, to which India objected.

This ultimately led to India shooting off its first formal notice to Pakistan on 25.01.2023 seeking modification of the treaty, followed up with a second notice on 30 August 2024. As on date, the Kishanganga and Ratle projects are still pending Neutral expert level dispute redressal.

The 330 MW Kishanganga dam project became the first project to go to the Court of Arbitration (CoA) and persists till date before a ‘Neutral Expert’-- amid a series of halts and objections starting from 2010 on.

The 2013 CoA judgment was a mixed bag for India- allowing water diversion from the Kishanganga/Neelum river for the project but asking India to maintain a minimum flow of water in the river.

A dissatisfied Pakistan sought yet another CoA on Kishanganga project design concerns in 2016.

Alongside, it moved for another arbitration on the 850 MW Ratle project in 2012.

In fact, simultaneous proceedings were initiated at the World bank by Pakistan on the two projects in 2022 at both CoA and Neutral Expert levels, to which India objected.

This ultimately led to India shooting off its first formal notice to Pakistan on 25.01.2023 seeking modification of the treaty, followed up with a second notice on 30 August 2024. As on date, the Kishanganga and Ratle projects are still pending Neutral expert level dispute redressal.