JUDGMENT

PATTANAIK

(1) THE State of Haryana has filed the present suit. under Art. 131 of the Constitution of India. Impleading the State of Punjab as defendant No. 1 and the Union of India as defendant No. 2. for the following reliefs :

"(A) pass a decree declaring that the order dated 24/03/1976. the Agreement of 31/12/1981 and the Settlement of 24/07/1985 are final and binding Inter alia on the State of Punjab casting an obligation on Defendant No. 1 to immediately restart and complete the portion of the Sutlej Yamuna Link Canal Project as also make it usable in all respects, not only under the aforesaid order of 1976. Agreement of 1981 and Settlement of 1985 but also pursuant to a contract established by conduct from 1976 till date; (b) pass a decree of mandatory injunction compelling defendant No. 1 (falling which defendant No. 2 by or through any agency) to discharge its/ their obligations under the said Notification of 1976. the Agreement of 1981 and the Settlement of 1985 and in any case under contract established by conduct, by immediately restarting and completing that portion of the Sutlej Yamuna Link Canal Project in the State of Punjab and otherwise making it suitable for use within a time bound manner as may be stipulated by this Honble Court to enable the State of Haryana to receive its share of the Ravi and Beas waters: (c) Award costs of the present suit to your plaintiff and against the Defendant No. 1; and (d) pass such other or further order or orders to such directions as this Honble Court may deem fit and proper in the facts and circumstances of the case and to meet the ends of Justice."

It has been averred in the plaint that Sutlej-Yamuna Link Canal is in fact. the lifeline of the farmers of Haryana and the livelihood of the farmers depends on the water, which is not only a natural resource, but a valuable national asset and completion of the aforesaid Canal. would enable the State of Haryana to receive its share of waters of the rivers Ravi and Beas. The plaintiff-State has averred that after the partition of India in 1947. the emergence of two independent countries India and Pakistan, division of the waters of rivers Indus and its tributaries became an international issue and in the year 1960, the Government of India signed a Treaty with Pakistan called the Indus Water Treaty of 1960. Under the aforesaid treaty, the waters of the three Eastern rivers, namely the Sutlej, the Beas and the Ravi were acquired for unrestricted use in India, to the exclusion of Pakistan and towards consideration, the Government of India agreed to make a fixed contribution of Pounds Sterling 62.06 million (equivalent to about 110 Crores rupees) to Pakistan. In a meeting of the beneficiary States namely, the State of Punjab, as it existed then. State of Kashmir, State ofRajasthan and State of PEPSU. which meeting had been convened by the Govt. of India on 29/01/1955, a workable agreement was arrived at for development and utilization of the waters of Rivers Ravl and Beas and under the said agreement, the share of undivided Punjab was 5.90 M.A.F. When there was a bifurcation of the erstwhile State of Punjab into two separate States of Punjab and Haryana w.e.f. 1/11/1966 under Punjab Reorganisation Act of 1966, special provisions had been made with regard to the rights and liabilities of the successor States in relation to the water from Bhakra Nangal Project and Beas Project. Section 78 of the Punjab Reorganisation Act, 1966, deals with such rights and liabilities of the successor States. Dispute arose between the two States of Punjab and Haryana as to their respective share of water which had earlier been allocated to the erstwhile State of Punjab and in the meeting called by the Government of India, a decision was taken on ad hoc basis that 35% of water would go to Haryana and 65% for Punjab, pending finalisation of the dispute. The State of Haryana approached the Government of India in October, 1969,