Tuesday, January 4 2005 13:08 Hrs (IST) - World Time -

New Delhi: India and Pakistan today (Jan 4, 2005) held Secretary-level talks on the contentious Baglihar Hydro Electric Project across river Chenab in Jammu and Kashmir, a day after Islamabad said it would seek World Bank arbitration if the "last ditch effort" fails.

Prior to the two-day talks, the nine-member Pakistani delegation led by Ashfaq Mahmood, Secretary (Water and Power), Government of Pakistan, called on Union Water Resources Minister Priyaranjan Dasmunsi and held a 20-minute meeting with him.

Secretary (Water Resources) V K Duggal, who heads the 12 Member delegation and Pakistani High Commissioner to India Aziz Ahmed Khan were also present.

Pakistan had accused India of adopting "dilatory tactics" and described the two-day talks as a "last ditch effort" to reach a bilateral settlement failing which it threatened to seek a World Bank arbitration.

"We have not been able to resolve it because of dilatory and bureaucratic responses. It is all muffed out. It is a last ditch effort to find a solution through the bilateral channels," Pakistan Foreign Office spokesman Masood Khan had said in Islamabad.

The last Secretary level meeting was held in June 2004 and ways and means to resolve the issues related to the 450 MW project were formulated. Subsequently, a list of additional data and information was requested by Pakistan. India furnished all possible data/information and drawings on December 15, 2004.

Official sources said that Pakistan's objections were yet to be substantiated quantitatively from technical standpoint, which would be the main agenda for the meeting.

Pakistan has reservations and objections about the design of the project and its specifications of Indus Water Treaty of 1960. India has already rejected Pakistan's stand that it is a violation of the Treaty.

Asked about the possibility of Islamabad seeking World Bank arbitration, Mahmood said, "We will tell you after the talks."