Punjab is normal to the outsider. Those brutal measures alienated a vast section of population. This alienation doesn't manifest itself in terrorism or a return to violence, as Punjabis are much more practical and realistic. But it manifests itself in other ways that are latent and hard to see for an outsider. That is why there was mass anger in a Rajoana case and people came out on the streets. When Beant Singh's (one of the assassins of IG) son stood for elections in Bathinda, old women folks would shower him with 'shagan' in the villages.
About Kashmir, these controlled measures havent helped, have they? True the number of active militants in Kashmir have declined. But does an ordinary Kashmiri feels like an Indian today? No. So what use is forced peace, when the population doesnt wish to be with you?
And these controlled measures have had other effects via incidents in other parts of the country. So in essence, terrorism has spilled out from Kashmir into other parts of the country. 25 years ago, when the militancy started in Kashmir, all incidents were restrained to Kashmir Valley. Delhi hardly saw any bomb blasts. Now Delhi is periodically on the terror radar and moreover so are other metros. So have those controlled measures made India safer overall?
The simple fact is that, the state can't use 'You kill 1, we will torture, harass, rape, murder 100' against its own people to tackle terrorism. If it does, there is no difference between the state and the terrorist.