Let us accept, that this time the Pakistani state is indeed not a player in the current disturbances, for they have been defeated as a state player . If we do that, the issue becomes more clear. What is it? It is the idea of the two nation theory, fueled by the Islamist narrative. It is this narrative that India has to defeat.
You are so wrong about this, and I mean no dis-respect, but you are allowing your dis-taste for ModiJi to color your judgement. TSP has NOT been defeated as a state player in the valley. TSP, out of its strategic orientation curbed its spectacular Fidayeen attacks, of the kind we saw prior to 2005. And the reason being that those attacks have not dented India's staying power in the valley, and hence the attacks were hurting TSP's Muslim brothers more than anything else. But make no mistake, TSP has all the valley politicians, every one of them by their b@lls. Not one has the guts to raise a little finger against TSP even as they rant and rail against Indian govt. TSP can up the ante anytime, and use the "indigenous uprising" cover BS. General Ata Hasnnian said it succinctly in one of Burka's (another useful idiot in the hands of TSP) reports. What TSP is doing now is orchestrating a Palestinian intifida type uprising with straregic use of terror. Scores of teen age stone pelters storm a a CRPF cordon, some are equipped with AK-47s do the firing using the stone pelters as cover, terrorist gangs are used to strorm police stations and bunkers, LeT cadres are used to stage the occasional spectacular attack against Indian army, and above all, the PR campaign orchestrated by TSP against the Indians state is in full throttle. So how can anyone, least of all, someone as well informed as you can claim that TSP has no role in the current crisis is beyond me. Orchestrating all of this needs a central leadership and funds and state machinery: all of which is provided by TSP. (And who knows how much fake currency TSP is pumping in because it itself is so broke).
Now, what makes the current crisis very acute form India's PoV is this. A BJP govt in the center. TSP has very skilfully co-opted Indian opposition into taking the Kashmir crisis into mainstream India. Note how the opposition traitors are virtually singing TSP's song about "ModiJi blaming TSP" when our own house is not in order. Or the scum bag Aakar patel type traitors propagating hate against Indian army. Or useful idiots like Burka and Thappad giving credence to this "indigenous uprising" nonsense. Fact of the matter, as I said, is that no valley politicians, mainstream or Paki stooges, can do any talking without taking into account TSP's interests of grabbing the valley. Thats why when opposition morons in India say "internal dialogue" with all "stake holders", I laugh, because essentially what they are saying is that TSP is a stakeholder.
But your second point is absolutely spot on, namely, what is going on in the valley is the poisonous 2-nation Isalmist ideolgy playing out. But with the entire opposition in India determined to bring BJP down, no matter what damage this does to India, there is no way, none in today's India to see what is going on in the valley as Islamic Jihad. In other words, there is so much hate for BJP that this Kashmir crisis is a God send for those traitors to keep ModiJi on the back foot. And I might add that BJP since the time it too power in 2014 has not been able to counterattack out of fear that opposition will further up the ante, leading to a civil war like situation derailing ModiJi's development agenda. BJP's strategy seems to be to absorb the punches thrown at it by opposition, who use every little incident to paint BJP as a fascist govt bent on throttling free speech, Muslims, Dalits etc. In such an environment, BJP can only do so much to highlight the Islamist nature of the crisis in Kashmir.