India plans to construct its largest hydroelectric power plant on Chenab River
The IWT, established in 1960 with the support of the World Bank, regulates water sharing of the Indus River system between India and Pakistan. Following a deadly attack in Jammu and Kashmir in April that killed 26 people, India accused Pakistan of supporting terrorism and decided to put the treaty on hold until Pakistan completely stops its backing of such activities. Pakistan denies involvement in the attack.
Under the treaty, India has limited rights to use the Chenab River for irrigation and is permitted to build run-of-the-river hydro projects, provided that the design and height are approved by the Indus Water Commission. However, large dams with water storage capabilities are restricted, limiting hydro power generation potential.
India’s National Hydroelectric Power Corporation has started the bidding process for the Sawalkote project, inviting companies to participate in the construction. The project is likely to increase tensions with Pakistan, which has historically opposed Indian hydroelectric projects in Kashmir, claiming they reduce its water share and violate treaty rules.
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