In a significant move to expand its hydropower footprint, the Union government has given environmental clearance to the 260-megawatt Dulhasti Stage-II hydropower project on the Chenab River in Jammu and Kashmir’s Kishtwar district. The approval comes as India continues to press ahead with water and energy projects after suspending the Indus Waters Treaty (IWT) with Pakistan.

The clearance was granted by a panel under the Ministry of Environment during its recent meeting, paving the way for construction tenders for the run-of-the-river project. Estimated to cost over ₹3,200 crore, the project is designed as an extension of the existing 390 MW Dulhasti Stage-I plant, which has been operational since 2007 under the National Hydroelectric Power Corporation (NHPC).

The Centre’s accelerated push to utilise the Indus basin follows the decision to put the 1960 Indus Waters Treaty on hold after a terror attack in Pahalgam, which New Delhi linked to Pakistan-backed elements. Following this, India moved to optimise the use of western rivers—Indus, Jhelum and Chenab—while prioritising water security and energy generation.

Though India was earlier restricted to non-consumptive use of these rivers under the treaty, the projects being taken forward now are run-of-the-river schemes, which were technically allowed even under the IWT. Nevertheless, Islamabad has repeatedly objected, alleging that India’s actions threaten downstream water availability.

The Dulhasti Stage-II project will divert water from the existing Stage-I facility through a dedicated tunnel to generate additional power. It will include an underground powerhouse equipped with two 130 MW units, along with associated infrastructure such as surge shafts and pressure tunnels. Around 60 hectares of land will be required, including limited private land from nearby villages in Kishtwar.

Pakistan has reacted strongly to the project’s approval. Senior leaders and media outlets there have accused India of violating international commitments and “weaponising” river waters. Islamabad has also raised concerns over fluctuating river flows, claiming such changes could severely impact its agriculture, particularly during sowing seasons.

Indian authorities, however, maintain that the project parameters comply with technical norms and that the current policy shift is aimed at harnessing national resources responsibly. Alongside Dulhasti-II, several other hydropower projects in the Indus basin—such as Sawalkote, Ratle, Pakal Dul, Kiru and Kwar—are also being fast-tracked.

With the treaty suspension removing the obligation to share advance project details or river flow data with Pakistan, India’s renewed hydel push marks a decisive shift in how it approaches water and energy management in the region.