December 04, 2008

India and Pakistan set to lock horns over hydel project

BS reported that Pakistan is likely to drag India into yet another international arbitration over the construction of a hydro power project in Kashmir over the Jhelum river in Pak occupied Kashmir.

Pakistan’s intention of creating roadblocks in the completion of the 330 MW Kishenganga power project that is already under construction by the National Hydro Power Corporation at village Kralpora in Baramulla in Kashmir were clear when it announced construction of a mega power project downstream on the Kishenganga.

Pakistan cabinet approved the 969 MW Neelum Jhelum hydropower project in PoK that would be constructed by a Chinese consortium. Pakistan’s plan is based on a clause in the Indus water treaty of 1960 that governs the distribution of river waters between the two neighbors, which entitles it to priority right over use of Jhelum waters. The treaty gives the right of unhindered use of 3 western rivers of Jhelum, Indus and Chenab to Pakistan and on the Easters rivers of Beas, Ravi and Sutlej to India.

From Islamabad’s point of view the Neelum Jhelum project has been necessitated by a clause in the IWT, which permits the construction of hydro electric projects on the tributaries of the river Jhelum by India, provided it does not adversely affect any existing uses by Pakistan on the same tributary.

In case Pakistan is able to raise the dam of the project at Nausheri before the Kishenganga dam is ready, Islamabad would be able to say that Kishenganga was hindering its power project and therefore claim priority rights on the use of Jhelum waters. This, if upheld by an arbitrator, would mean the end of Kishenganga project for India.

However, sources in India’s ministry of water resources said that Pakistan could always seek arbitration from neutral experts on Kishenganga as it had done in Baglihar, where the work was held up for many years till a World Bank appointed expert upheld India’s case this year. The Union Cabinet had given sanction of INR 2238.67 crores for the project in August 2007.

Islamabad has given itself an 8 year deadline for the Neelum Jhelum project and has said it would invoke the Indus water treaty against India.