Daily Current Affairs : 22-January-2025

The World Bank-appointed Neutral Expert (NE) has recently declared that he is competent to resolve the ongoing disputes between India and Pakistan over the design of hydroelectric projects under the Indus Water Treaty (IWT) of 1960. These disputes primarily involve two major hydroelectric projects, the Kishenganga and Ratle projects, located in Jammu and Kashmir.

What is the Neutral Expert (NE)?

The Neutral Expert is a person appointed by the World Bank to resolve technical issues that arise between India and Pakistan under the Indus Water Treaty. The role of the NE becomes crucial when both countries, through the Permanent Indus Commission (PIC), fail to reach a mutual agreement on technical matters.

  • Appointed by: The World Bank, under Paragraph 7 of Annexure F of the IWT.
  • Role: To resolve technical disputes, particularly when the PIC cannot agree on a solution.
  • Current Focus: The technical evaluation of two important hydroelectric projects—the Kishenganga and Ratle projects.

Dams Under Discussion

Two hydroelectric projects in dispute are the Kishenganga and Ratle projects. Both are located in Jammu and Kashmir, on the tributaries of the Indus River.

  • Kishenganga Hydroelectric Project: Situated on the Jhelum River, a tributary of the Indus.
  • Ratle Hydroelectric Project: Located on the Chenab River, another tributary of the Indus.

These projects have raised concerns regarding water usage and potential violations of the Indus Water Treaty.

About the Indus Water Treaty (IWT)

The Indus Water Treaty, signed in 1960, is an agreement between India and Pakistan that outlines how the waters of the Indus River system will be shared between the two countries.

  • Signatories: The treaty was signed by Indian Prime Minister Jawaharlal Nehru and Pakistan President Ayub Khan, with the World Bank as a broker and signatory.
  • Water Allocation:
    • India: Water from the eastern rivers (Beas, Ravi, and Sutlej).
    • Pakistan: Water from the western rivers (Indus, Chenab, and Jhelum).
  • Features of the Treaty:
    • It provides for an equitable distribution of water.
    • It allows both nations to use water for various purposes, including hydroelectric power generation.
    • The treaty includes oversight by the Permanent Indus Commission (PIC), which consists of representatives from both India and Pakistan.

World Bank’s Role in the IWT

The World Bank plays a critical role in ensuring the implementation of the Indus Water Treaty and resolving disputes between the two countries.

  • Neutral Expert Appointment: The World Bank appoints the Neutral Expert to address any technical issues between India and Pakistan.
  • Arbitration: If the NE is unable to resolve the dispute, the World Bank can facilitate arbitration through the Court of Arbitration.
  • Oversight: The World Bank helps maintain the integrity of the treaty and ensures that both countries adhere to the agreement.
Important Points:
  • Neutral Expert (NE): Appointed by the World Bank to resolve technical disputes between India and Pakistan under the Indus Water Treaty (IWT).
  • Role of NE: Resolves disputes when the Permanent Indus Commission (PIC) fails to find an agreement on technical issues.
  • Current Focus: Technical evaluation of two hydroelectric projects – Kishenganga and Ratle.
  • Hydroelectric Projects in Dispute:
    • Kishenganga Project: Located on the Jhelum River (tributary of the Indus) in Jammu & Kashmir.
    • Ratle Project: Located on the Chenab River (tributary of the Indus) in Jammu & Kashmir.
  • Indus Water Treaty (IWT): Signed in 1960 between India and Pakistan, brokered by the World Bank.
  • Water Allocation Under IWT:
    • India: Allocated water from the eastern rivers (Beas, Ravi, Sutlej).
    • Pakistan: Allocated water from the western rivers (Indus, Chenab, Jhelum).
  • Treaty Features:
    • Equitable water distribution between the two countries.
    • Allows both nations to use water for hydroelectric projects.
    • Oversight by the Permanent Indus Commission (PIC).
  • World Bank’s Role:
    • Appoints a Neutral Expert to resolve technical issues.
    • Facilitates arbitration through a Court of Arbitration if needed.
    • Ensures the implementation and integrity of the IWT.
Why In News

The World Bank-appointed Neutral Expert (NE) has declared that he is competent to resolve differences between India and Pakistan regarding the design of hydroelectric projects under the Indus Water Treaty (IWT), 1960, reaffirming his role in ensuring the fair implementation of the treaty’s provisions despite ongoing tensions.

MCQs about Neutral Expert’s Role in Indus Water Disputes
  1. Who appoints the Neutral Expert (NE) under the Indus Water Treaty (IWT)?
    A. India
    B. Pakistan
    C. The World Bank
    D. The United Nations
    Correct Answer: C. The World Bank
    Explanation: The Neutral Expert is appointed by the World Bank to resolve technical disputes between India and Pakistan under the Indus Water Treaty (IWT).
  2. What is the primary responsibility of the Neutral Expert (NE) under the IWT?
    A. To resolve political conflicts
    B. To resolve technical disputes related to water sharing
    C. To monitor the construction of dams
    D. To mediate peace talks between India and Pakistan
    Correct Answer: B. To resolve technical disputes related to water sharing
    Explanation: The Neutral Expert is responsible for resolving technical issues, particularly when the Permanent Indus Commission (PIC) cannot reach an agreement.
  3. Which two hydroelectric projects are currently being evaluated by the Neutral Expert?
    A. Beas and Ravi Projects
    B. Kishenganga and Ratle Projects
    C. Indus and Chenab Projects
    D. Sutlej and Jhelum Projects
    Correct Answer: B. Kishenganga and Ratle Projects
    Explanation: The Neutral Expert is currently focused on evaluating the Kishenganga and Ratle hydroelectric projects, located on the Jhelum and Chenab Rivers respectively.
  4. What is the role of the World Bank in the Indus Water Treaty?
    A. To arbitrate disputes through military intervention
    B. To ensure equitable water distribution and appoint a Neutral Expert
    C. To supervise dam construction
    D. To resolve financial disputes between India and Pakistan
    Correct Answer: B. To ensure equitable water distribution and appoint a Neutral Expert
    Explanation: The World Bank helps ensure the fair implementation of the Indus Water Treaty by appointing the Neutral Expert and facilitating arbitration when needed.

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