Was there really a solution to this problem? Not sure, i always felt personally that India should have just focused on development in the initial stages and not granted special status to this region.
A people who wish to choose a rotten system that is called Pakistan over the more robust and promising Indian democracy need no mercy and must be asked to go their own way. I am not sure what strategic reasons other than losing that beautiful land and may be triggering few more splinter groups to gather momentum for freedom. Yes i am pretty sure that the Indian soldiers have made few mistakes, but where you have a deployment of thousands of soldiers, there is a war like situation, its bound to happen that way. One must make no difference here that the most important aspect of the soldiers life is to fight for his country be it with enemies from across the border or those with in the borders.
Could India have followed the China model, Should India allow this region to just drift away to a more medieval Pakistan and hope that wiser sense prevails and people choose the right path over a period of time.
The spate of terrorist attacks on India (most kill innocent Indians in cities and towns that have nothing to do with Kashmir) prove that India's current policy has failed. Terrorists strike at will anywhere and anytime they wish. Feels like one is in a functional democracy that is somehow not strong enough to deal with its own security.
Is the solution to provide draconian(?) laws to the state's and their police forces that strengthen the forces at the same time leave room for misuse?