India Launches Two Major Chenab Projects Amid Indus Treaty Freeze | Exclusive

India Launches Two Major Chenab Projects Amid Indus Treaty Freeze | Exclusive Reported By, Edited By Last Updated: May 21, 2026, 17:30 IST First project involves an inter-basin water diversion tunnel in Himachal to divert Chenab water, while the second looks to restore sediment management capability at the Salal Dam Rapid Read The bigger of the two projects is the Rs 2,352 crore Chenab–Beas Link Tunnel Project in Lahaul-Spiti which envisages the construction of an 8.7-km-long tunnel to divert surplus water from the Chenab basin into the Beas river system. (PTI) In a significant development with both strategic and political implications, India has initiated work on two major infrastructure projects linked to the Chenab river system—one involving a large inter-basin water diversion tunnel in Himachal Pradesh and the other aimed at restoring sediment management capability at the Salal Dam. Together, both projects are worth nearly Rs 2,600 crore. The projects will be undertaken by Hydroelectric Power Corporation and CNN-NEWS18 has exclusively accessed documents put out by NHPC for starting work on both projects. They come at a time when New Delhi has sharpened its approach toward utilisation of waters from the western rivers governed under the “in abeyance" Indus Waters Treaty. The bigger of the two projects is the Rs 2,352 crore Chenab–Beas Link Tunnel Project in Lahaul-Spiti. The proposal envisages the construction of an 8.7-km-long tunnel to divert surplus water from the Chenab basin into the Beas river system. According to project details, the tunnel will form part of a larger inter-basin river-linking initiative aimed at transferring water from the Chandra river—a tributary of the Chenab—toward the Beas basin through hydraulic structures and tunnels. A 19-metre-high barrage is also proposed across the river in the Lahaul valley as part of Phase-I construction. The project area lies in the high-altitude terrain of Lahaul-Spiti, close to the strategic Himalayan belt where India has rapidly expanded road, tunnel and energy infrastructure in recent years. The diversion site is located near Koskar village and upstream of the north portal of the Atal Tunnel, Rohtang. Officials familiar with the development say the project is not merely about hydropower or engineering, but also about optimising India’s utilisation of waters from the western rivers. Under the Indus Waters Treaty signed in 1960, India received unrestricted rights over the eastern rivers while Pakistan received primary rights over the western rivers—the Indus, Jhelum and Chenab. However, India retained the right to construct run-of-the-river hydroelectric projects and undertake certain non-consumptive uses on the western rivers. For years, Indian policymakers and water experts have argued that substantial quantities of water from the western rivers flow downstream unutilised because of inadequate storage, infrastructure and hydro-management capacity. The Chenab–Beas link project is now being viewed as part of a broader effort to address that gap. The project is also expected to strengthen hydroelectric generation potential in northern India. Officials say Phase-II of the proposal could involve power generation infrastructure linked to the diverted water flows. Himalayan rivers are considered among India’s biggest renewable energy assets, especially at a time when the country is attempting to reduce dependence on thermal power. Project Number Two Alongside the Himachal project, NHPC has also begun work on a second Chenab-linked intervention—a Rs 268 crore diversion-cum-sediment bypass tunnel at the Salal hydroelectric project in Jammu and Kashmir. The Salal project carries considerable technical and strategic significance. Desiltation work at Salal was among the first visible operational measures initiated after India announced that the Indus Waters Treaty would be kept “in abeyance" following the Pahalgam terror attack. The Salal reservoir has suffered from severe siltation for decades because the Chenab river carries enormous quantities of sediment from the Himalayas. Engineers say this has gradually reduced the reservoir’s storage capacity and affected the efficiency of turbines and water flow management. Heavy sedimentation can also complicate flood handling and reduce the operational life of hydroelectric infrastructure. The new tunnel is intended to solve a long-standing problem at the project. It will help divert water when required and also flush accumulated sediment from the reservoir through a bypass mechanism. Experts point out that one of the original operational limitations at Salal stemmed from the treatment of low-level sluices during the dam’s construction decades ago. Those sluices — designed to release sediment-laden water — were reportedly concreted over following concerns raised during discussions linked to the Indus Waters Treaty. Over the years, critics in India argued that these modifications reduced the dam’s ability to effect