Kumar Bahukhandi
An aerial view of the Indus river system. India has rejected the latest Court of Arbitration award concerning the Indus Waters Treaty, maintaining that it does not recognise the arbitral body’s legal authority. Photo: Internet/Representational
New Delhi says it does not recognise the Court of Arbitration and maintains that its decisions cannot affect Indian projects or sovereign policy choices
Key Highlights
- India rejects the latest Court of Arbitration award concerning the Indus Waters Treaty
- New Delhi maintains that the arbitral body was improperly constituted and has no legal standing in India’s view
- India has not participated in the arbitration proceedings
- The tribunal maintains that it is competent to hear the dispute and that the treaty continues to remain in force
- India’s decision to hold the treaty in abeyance followed the April 2025 Pahalgam terror attack
New Delhi : India has rejected the latest award by the Court of Arbitration dealing with the Indus Waters Treaty, reiterating that New Delhi does not recognise the legal existence of the arbitral body and will not accept its pronouncements.
The award, issued on August 31 in proceedings initiated by Pakistan, deals with the status of the Indus Waters Treaty and interim measures concerning the Ratle Hydroelectric Plant. The Permanent Court of Arbitration, which acts as registry for the proceedings, confirmed the issuance of the award.
Responding sharply, India maintained its longstanding position that the Court of Arbitration had been constituted in violation of the treaty’s provisions and that New Delhi had consequently stayed away from its proceedings.
India’s position stands in direct conflict with that of the tribunal. The Court has previously ruled that it was properly constituted and competent to consider the dispute despite India’s non-participation. It has also maintained that India’s April 2025 decision to place the treaty in abeyance did not deprive the Court of its competence.
India and Tribunal Remain Fundamentally Divided
The disagreement goes beyond the substance of individual hydroelectric projects. It now involves a fundamental dispute over the legitimacy of the arbitration process itself and the status of the 1960 treaty.
India has maintained that the Court has no jurisdiction to pronounce upon decisions taken by New Delhi concerning its national security or projects being undertaken by the country. It has consequently refused to participate in the proceedings or recognise earlier awards.
The tribunal takes the opposite legal position. Its earlier rulings have held that awards of a Court of Arbitration under the treaty are final and binding and that India’s non-participation does not prevent the proceedings from continuing.
The August 31 award represents the latest stage of a case initiated by Pakistan concerning India’s hydroelectric projects on the western rivers governed by the treaty. Earlier phases dealt with questions of jurisdiction, interpretation of the treaty and technical issues surrounding hydroelectric projects.
India placed the Indus Waters Treaty in abeyance following the April 2025 Pahalgam terror attack, linking the future operation of the agreement to Pakistan ending its support for cross-border terrorism.
The latest ruling therefore leaves India and Pakistan — and India and the arbitral tribunal — holding sharply opposing positions. While the Court considers the treaty and its dispute-resolution mechanism legally operative, New Delhi maintains that its decision to keep the treaty in abeyance remains in force.
The dispute is consequently no longer confined to technical questions over dams and water flows. It has become intertwined with the wider deterioration in India-Pakistan relations, terrorism and India’s assertion that national-security considerations cannot be separated from cooperation under the water-sharing arrangement.
