The World Bank-appointed Neutral Expert has affirmed its authority to resolve the ongoing dispute between India and Pakistan concerning the Kishenganga and Ratle hydropower projects in Jammu and Kashmir, under the 1960 Indus Water Treaty. India welcomed the decision, which supported its stance that all seven issues related to the two projects fall within the expert’s jurisdiction.

The dispute, which centers around the technical designs of the two hydropower plants, escalated to the point where both countries sought different methods of resolution. Pakistan requested the establishment of a Court of Arbitration, while India advocated for the appointment of a Neutral Expert to resolve the matter.

The Neutral Expert’s ruling on Monday rejected Pakistan’s request for an alternative approach and confirmed that it would now move to the merits phase of the dispute resolution process. India has made it clear that it does not recognize the Court of Arbitration’s proceedings, reinforcing its position that the Neutral Expert should have sole authority in this case. The Indian government has stated its commitment to participating in the resolution process as per the provisions of the Indus Water Treaty, which governs the use and management of shared water resources between the two countries.

The outcome of this process will significantly affect the future of the Kishenganga and Ratle projects, which have been points of contention between the nations for several years. Both governments have also discussed potential amendments to the Indus Water Treaty under Article XII (3).