LAHORE, April 13: The World Bank-appointed neutral expert on the Baglihar hydropower project, Raymond Lafitte, has called Pakistan and India for final hearing on the disputed dam in the last week of May.

According to sources in the Ministry of Water and Power, the hearing is likely to take place in London on May 23-24. The exact date would be finalised in consultation with all the parties concerned, sources said.

Since both sides have already completed their submissions, Pakistani officials expect the meeting to be the last before Mr Lafitte announced his verdict.

The sources expressed optimism for a favourable decision. Their optimism was based on the fact that India had proposed Pakistan two months ago to review and redesign the dam by reducing water storage capacity by dropping the height of the spillway gates and besides offering not to use the water for irrigation.

India had put forward the proposal on the condition that Pakistan assured that it would withdraw the case before the World Bank against the dam for violating the Indus Basin Water Treaty.

Pakistan refused to accept the offer saying there was no guarantee that it would not withhold water, drying up canals emanating from the Chenab River on which India is building the dam. These canals were important for irrigation and defence.

Realising the weakness of its case, India made the offer to alter the dam design just before the approaching dates for the final verdict of the World Bank’s neutral expert, they said. Both sides were expecting a final verdict by January last but it was delayed on different accounts.

The issue of the Baglihar dam had been referred to the World Bank last March under the Indus Basin Water Treaty, which includes dispute resolving mechanism.

The Bank appointed Raymond Lafitte, a Swiss civil engineer, as a neutral expert on May 10, 2005.