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This process may not require the participation of Pakistan but if you are planning to send seperatist Sunnis across the border then it does concearn Pakistan as well.
Furthurmore, assume for one sec that this plan works, if Pakistan does not stop the insurgency sponsorship, training camps etc then Jehadis will always cross over and do the same thing and no meaningful investment can ever be made into kashmir.
Also any plan that deals with religion ie Sunnis who decide to leave can get money and leave will never work in India as the supreme court will deeem it unconstitutional. Any partition along religious lines will never work and I for one cannot see the morality, sure you may have a seperatist in Kashmir but that does not mean that he should have to leave because Kashmir and his village is his as well. Partition was wrong in 47 and in 2004 is does not become any more right.
A plan will only work if both parties accept it.
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