EDITORIAL: India and its Indus Waters Treaty obligations

EDITORIAL: The clarifications issued by the Permanent Court of Arbitration (PCA) regarding the Indus Waters Treaty (IWT), following India’s decision to hold it in abeyance, have once again brought into focus the complexities of water sharing between Pakistan and India.

In a statement issued on Wednesday, Pakistan’s Foreign Office (FO) described the PCA’s clarifications as “helpful,” reaffirming Islamabad’s consistent position that disputes under the IWT must be resolved within the framework of international law and the treaty’s established mechanisms. The FO’s measured response underscores Pakistan’s commitment to the lawful and peaceful resolution of transboundary water issues.

The PCA’s latest clarifications, issued after its Award on Issues of General Interpretation on August 8, carry particular significance. The Court reaffirmed that these clarifications — made in response to Pakistan’s “timely” request — have the same binding effect as the original award. This means the interpretative guidance provided by the PCA is not merely advisory but legally obligatory.

The clarifications address the meaning and scope of several aspects of the award, particularly those relating to the design and operation of run-of-river hydroelectric projects — longstanding points of contention between the two countries. Pakistan’s positive response reflects its recognition that the PCA has upheld the rule-based structure of the IWT, reinforcing the treaty’s credibility as a framework for peaceful dispute resolution.

Equally notable is the FO’s acknowledgement of the PCA’s procedural order inviting both parties to report on the status of the Neutral Expert proceedings. These proceedings, interestingly, were initiated at India’s request; however, New Delhi has since chosen to suspend its participation.

This move raises legitimate concerns about India’s commitment to the IWT’s dispute settlement mechanisms. Since its signing in 1960 under the auspices of the World Bank, the Indus Waters Treaty has stood as one of the most successful and enduring water-sharing agreements in the world. For one party to unilaterally step back from it not only undermines the treaty’s integrity but also sets a troubling precedent for international agreements more broadly.

Two key questions now arise. First, how can India unilaterally disengage from an internationally arbitrated process that it itself once invoked? Such an action contradicts the spirit and letter of the IWT, which explicitly provides for arbitration and neutral expert mechanisms to resolve technical and legal disputes.

Second, given that the PCA’s clarifications are binding, what mechanisms exist to ensure India’s compliance? In theory, both countries are obligated to respect and implement the PCA’s findings under the terms of the IWT and international law. In practice, however, enforcement will depend largely on diplomatic engagement, sustained involvement by the World Bank as a facilitator, and adherence to established international norms.

Going forward, Pakistan’s continued participation and respect for the PCA’s authority highlight its commitment to international legality and cooperative water governance. India’s selective engagement, on the other hand, risks politicising what should remain a technical and rules-based process.

The PCA’s clarifications reaffirm a fundamental principle: disputes over shared resources must be resolved through lawful, institutional mechanisms, not unilateral actions. Ensuring compliance with this framework now stands as a critical test for both countries, as well as for the credibility of international arbitration itself.

Copyright Business Recorder, 2025