Court of Arbitration’s latest award on Indus Waters Treaty vindicates Pakistan’s stance — FO

People walk next to a cultivated land on the dry riverbed of the Indus River in Hyderabad, Pakistan on April 25, 2025. (REUTERS/File)
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Updated 11 August 2025
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Court of Arbitration’s latest award on Indus Waters Treaty vindicates Pakistan’s stance — FO

  • Pakistan and India have been arguing over hydroelectric projects on the shared Indus basin and its tributaries for decades
  • Islamabad says award details criteria for new hydropower projects to be constructed by India on Chenab, Jhelum and Indus

ISLAMABAD: Pakistan on Monday said the latest award on the Indus Waters Treaty (IWT), rendered by Court of Arbitration, is in line with Pakistan’s interpretation of the relevant provisions of the treaty, which India has threatened to put in abeyance.

India announced in April it was putting the 1960 World Bank-mediated treaty, which ensures water for 80 percent of Pakistani farms, in abeyance a day after an attack in Indian-administered Kashmir that New Delhi blamed on Pakistan, an allegation Islamabad denies. Pakistan has previously said the treaty has no provision for one side to unilaterally pull back and that any blocking of river water flowing to Pakistan will be considered “an act of war.”

The IWT grants Pakistan rights to the Indus basin’s western rivers — Indus, Jhelum, and Chenab — for irrigation, drinking, and non-consumptive uses like hydropower, while India controls the eastern rivers — Ravi, Beas, and Sutlej — for unrestricted use but must not significantly alter their flow. India can use the western rivers for limited purposes such as power generation and irrigation, without storing or diverting large volumes, according to the agreement.

In a statement issued on Monday, Pakistan’s foreign office said it welcomed the award rendered by the Court of Arbitration on Aug. 8 on issues of general interpretation of the IWT, explaining the designed criteria for the new run-of-river hydropower projects to be constructed by India on the western rivers of Chenab, Jhelum and Indus. New Delhi has not yet commented on the development.

“In a significant finding, the Court has declared that India shall ‘let flow’ the waters of the western rivers for Pakistan’s unrestricted use. In that connection, the specified exceptions for generation of hydro-electric plants must conform strictly to the requirements laid down in the Treaty, rather than to what India might consider an ‘ideal’ or ‘best practices’ approach,” the foreign office statement read.

“​The Court’s findings on low-level outlets, gated spillways, intakes for the turbines, and free-board are in line with Pakistan’s interpretation of the relevant provisions of the Treaty. The Award also limits India from maximizing the pondage volume.”

The South Asian neighbors have been arguing over hydroelectric projects on the shared Indus river and its tributaries for decades, with Pakistan complaining that India’s planned hydropower dams will cut its flows.

Notably, the Court observed that the awards of a Court of Arbitration are “final and binding on the parties (India and Pakistan),” and have a controlling legal effect on subsequent Courts of Arbitration and neutral experts, according to the Pakistani foreign office.

Recognizing Pakistan’s vulnerability as the downstream riparian, the Court has further observed that the object and purpose of the Indus Waters Treaty, as it relates to the western rivers, is to de-limit the two states’ respective rights and obligations, in conjunction with mutual cooperation and effective dispute resolutions procedures. 

“The award carries special significance in the wake of India’s recent announcement to hold the Indus Waters Treaty in abeyance, and its earlier decision to boycott the proceedings of the Court of Arbitration. It is an endorsement of Pakistan’s historical stance on the afore-stated issues,” the foreign office said.

“Pakistan remains committed to full implementation of the Indus Waters Treaty. It also expects India to immediately resume the normal functioning of the Treaty, and faithfully implement the award announced by the Court of Arbitration.”


Pakistan PM orders action against fuel hoarding amid Iran conflict supply fears

Updated 13 min 53 sec ago
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Pakistan PM orders action against fuel hoarding amid Iran conflict supply fears

  • Sharif asks authorities to shut down petrol pumps involved in any attempt to create artificial shortages
  • Government says it holds adequate fuel stocks despite shipping risks as Strait of Hormuz tensions rise

ISLAMABAD: Prime Minister Shehbaz Sharif on Friday ordered authorities to take strict action against fuel hoarders and shut down petrol pumps involved in any attempt to create artificial shortages, as anxiety grows over potential supply disruptions from the widening conflict involving Iran.

Sharif issued the directive during a high-level meeting on petroleum supplies, where officials briefed him that Pakistan currently holds sufficient fuel reserves to meet domestic demand despite the volatile regional situation.

The move comes as Pakistan steps up contingency measures following fears of supply disruptions linked to the escalating conflict involving Iran, the United States and Israel.

The concerns stem partly from disruptions in tanker traffic after the Strait of Hormuz — a key global oil chokepoint between Iran and Oman through which much of Pakistan’s imported crude typically transits — was shut following rising hostilities in the Gulf.

“The prime minister directed provincial governments to take strict legal action against hoarders of petroleum products,” Sharif’s office said in a statement after the meeting.

“Any petrol pump involved in the reprehensible practice of creating artificial shortages should be immediately shut down, its license revoked and legal action initiated,” it added.

Earlier this week, Pakistan’s Oil and Gas Regulatory Authority (OGRA) allowed oil marketing companies to temporarily regulate supplies to retail outlets to discourage hoarding and maintain stability in fuel distribution.

Sharif instructed the petroleum minister to visit provinces and coordinate with their administrations to develop a strategy for conserving petroleum products and ensuring their uninterrupted supply to the public.

The prime minister further ordered the creation of a digital dashboard to monitor the movement of petroleum products and share real-time data with provincial authorities to improve oversight of fuel transportation and distribution.