India approves ₹3,200 crore Chenab project amid Indus water treaty tensions, Pakistan on high alert
New Delhi (The Uttam Hindu: Following the brutal terrorist attack in Pahalgam in April 2025, India took a tough stand and suspended the 1960 Indus Waters Treaty with Pakistan. Since the suspension of this treaty, the Indian government has been rapidly advancing its hydropower projects in Jammu and Kashmir. In this regard, an expert panel under the Ministry of Environment has now given the green signal to the 260-megawatt Dulhasti Stage-II Hydropower Project to be built on the Chenab River in Kishtwar district.
3200 crore project, gained momentum after the treaty suspension
The Dulhasti Stage-II Hydropower Project was planned long ago, but now the path to implementation has been cleared. In December 2025, the Expert Appraisal Committee on Hydel Projects approved its progress at its 45th meeting. The committee clarified that although the project parameters were originally planned in accordance with the provisions of the 1960 Treaty, the Treaty is currently suspended, effective April 23, 2025. Construction tenders will now be issued for this run-of-the-river project. The estimated cost of the project is estimated to exceed ₹3,200 crore.
What is the plan for Dulhasti Stage-II?
This new project is an expansion of the existing 390 MW Dulhasti Stage-I Hydroelectric Project, which has been operated by NHPC since 2007. Under the new plan, water discharged from the Stage-I power station will be diverted through a separate tunnel measuring 3,685 meters long and 8.5 meters in diameter. The project also includes the construction of an underground powerhouse consisting of two 130 MW units, which will generate 260 MW of energy annually.
India's aggression and other projects
When the Indus Water Treaty was in force, Pakistan had control over the waters of the Indus, Jhelum, and Chenab rivers, while India controlled the Ravi, Beas, and Sutlej rivers. However, since the treaty was suspended, the central government has been rapidly moving forward on several stalled hydroelectric projects in the Indus Basin. In addition to Dulhasti, important projects such as Sawalkot, Ratle, Bursar, Pakal Dul, Kwar, Kiru, and Kirthai are also being implemented on a war footing.
Pakistan's agriculture in deep trouble
This move by India has further increased Pakistan's concerns. Since the suspension of the treaty, Pakistan has repeatedly accused India of blocking the waters of the Jhelum and Chenab rivers. A recent internal Pakistani report also noted a decrease in the flow of the Chenab River. This situation is particularly alarming for Pakistan because 80% of its agriculture depends on water from the Indus River Basin. A reduction in water flow is sure to have a devastating impact on Pakistan's agriculture and economy.