Salal Dam ( Salāl Bāndh), also known as Salal Hydroelectric Power Station, is a run-of-the-river hydropower project on the Chenab River in the Reasi district of the Jammu and Kashmir. It was the first hydropower project built by India in Jammu and Kashmir under the Indus Water Treaty regime. After having reached a bilateral agreement with Pakistan in 1978, with significant concessions made to Pakistan in the design of the dam, reducing its height, eliminating operating pool, and plugging the under-sluices meant for sediment management, India completed the project in 1987. The concessions made in the interest of bilateralism damaged the long-term sustainability of the dam, which silted up in five years. It currently runs at 57% capacity factor. Its long-term future is uncertain. Conception The project is located on the Chenab River near the Salal village in the Reasi District, a few kilometres south of Matlot where the river turns to a southerly course. Pakistan's Marala Headworks is downstream, from where the Marala–Ravi Link Canal and the Upper Chenab Canal carry water to various parts of Pakistani Punjab. The Salal project was conceived in 1920. Feasibility studies on the project commenced in 1961 by the Government of Jammu and Kashmir and a project design was readied by 1968. Construction was started in 1970 by the Central Hydroelectric Project Control Board (under the Government of India's Ministry of Irrigation and Power). The design of the project contained a two-stage powerhouse generating 690 MW power making use of the head created by the dam. Indus waters dispute Under the Indus Waters Treaty of 1960, the Chenab River is allocated to Pakistan for exploitation (one of the 'Western Rivers' – Indus, Jhelum and Chenab). India has rights to use the river for "non-consumptive" uses such as power generation. India is obliged under the treaty to inform Pakistan of its intent to build a project six months prior to construction and take into account any concerns raised by the latter. Since Pakistan lost the three eastern rivers to India by the treaty, its dependence on the Chenab river increased. It viewed the Salal project with great concern. Even limited storage in a relatively low dam upstream was viewed as a flood risk, even a threat, whereby India could flood Pakistan's farm lands by a sudden release of water. Equally, India could hold back water in its reservoir starving them of water. Zulfiqar Ali