India okays new hydropower project on Chenab as Indus Waters Treaty remains suspended

India Dec 29, 2025

India just approved the 260-MW Dulhasti Stage-II hydropower project in Kishtwar, Jammu & Kashmir.
This move comes after the suspension of the Indus Waters Treaty (IWT) in April 2025, following a tragic attack in Pahalgam.
The new plant will extend the existing Dulhasti Stage-I and is set to cost over ₹3,200 crore.

Why does it matter?

With the IWT on hold, India is fast-tracking several big water projects like Dulhasti Stage-II to boost energy and manage river flows.
These projects could reshape how water is shared with neighboring countries and impact downstream communities—so it's a pretty significant shift for the region.