Pakistan has claimed that the project would rob it of 15 per cent of its share of river waters. It also accused India of trying to divert the river in order to harm Pakistan's Neelum-Jhelum hydro-electric project.
On May 17, 2010, Pakistan had moved for arbitration against India under the provisions of the Indus Waters Treaty 1960.
According to a release issued by the Permanent Court of Arbitration at The Hague, during the hearing, which began on August 20,India submitted that all the provisions of the Treaty must be interpreted in light of its object and purpose mentioned in the preamble.
The Indian side led by acclaimed jurist Fali S Nariman said that it has a right to transfer water between the tributaries of the Jhelum River for the purpose of hydro power generation.
Such a right is evident, India argued, given that prior to the Treaty's signature, India was already contemplating the construction of a hydro-electric project at the current location that would include an inter-tributary transfer.
In this context, India emphasised that it would not have consented to any Treaty provision that would preclude the realisation of such a project.
Indian representatives recalled that the preamble of the Treaty spells out the parties' desire in signing the document to attain the most complete and satisfactory utilisation of the waters of the Indus system of rivers. (MORE)
