Kishanganga project is water dispute between India and Pakistan. Kishanganga Hydropower project is being built by India on Jhelum River in violation of Indus Water Treaty of 1960. Now the case it ready to be present in front of international court of arbitration constituted by the UN.
Pakistan has objected to India’s move to build the 330 MW Kishanganga hydropower and storage project through diversion of Neelum River. Pakistan’s object is that the project will not only deprive it of priority rights over the river but also generation capacity of number of hydropower projects and agriculture in Pakistan.
Pakistan is currently facing problems in implementation of the 969 MW Neelum Jhlem hydropower project i.e. recent floods and lack of funds. The per megawatt generation cost on the project is about two million. India on the other hand, is working day and night on the construction of Kishanganga project. India plans to complete the project In Feb 2014 well before 2016.
Diversion of the river water will reduce 16 percent power generation capacity of the Neelum Jhelum power project on the same river downstream Azad Kashmir. The economic effect of the project on Pakistan will be more than 6 billion rupees. The project will also reduce the flows on the Pakistan side.
Kishanganga Dam Map