Arbitration initiated against India in relation to IWT: CoA concludes hearing for second phase on merits

ISLAMABAD: The Court of Arbitration (CoA) on February 3, 2026 concluded its hearing for the second phase on the merits in an arbitration initiated by Pakistan against India pursuant to Article IX and Annexure G of the Indus Waters Treaty (IWT).

In these proceedings, Pakistan requested the Court of Arbitration to address the interpretation and application of the Indus Waters Treaty to certain design elements of the run-of-river hydro-electric projects that India is permitted by the Treaty to construct on the Indus, Jhelum, and Chenab and their tributaries, before those rivers flow into Pakistan.

In accordance with the Court’s Procedural Order No. 17 dated 21 November 2025, in this phase of the proceedings, the Court is “resolving the basis upon which India must determine the installed capacity and anticipated load of a proposed Annexure D, Part 3 HEP, and, once determined, how these elements are to be taken into account for purposes of the calculation of maximum Pondage”.

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Pakistan was represented during the two-day hearing by Mansoor Usman Awan, Agent and Attorney General for Pakistan; Syed Muhammad Mehar Ali Shah, Pakistan Commissioner for Indus Waters; Syed Haidar Shah, Ambassador of Pakistan to The Netherlands; Jamal Nasir, Deputy Head of Mission at the Embassy of Pakistan to The Netherlands; Sir Daniel Bethlehem KC, Professor Philippa Webb, Dr Cameron Miles, Charlotte Westbrook, Abdullah Tariq, as counsel and Peter J Rae and Dr Gregory. Morris, as Technical Advisers and Advocates.

India did not respond to an invitation to participate in the hearing and did not appear. The Court of Arbitration is chaired by Professor Sean D Murphy of the United States. The other members are Professor Wouter Buytaert of Belgium, Professor Jeffrey P Minear of the United States, Judge Awn Shawkat Al-Khasawneh of Jordan, and Dr Donald Blackmore of Australia.

Pursuant to a decision by the Court of Arbitration, the PCA acts as the secretariat for the proceedings.

Copyright Business Recorder, 2026