International Energy Charter Draft Model Investment Dispute Prevention and Management Protocol

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The International Institute for Sustainable Development (IISD) critiques the International Energy Charter's draft Model Investment Dispute Prevention and Management Protocol, asserting that the instrument overreaches legally and could increase legal jeopardy for states in arbitration contexts. While supporting the development of internal state procedures for dispute management, IISD argues these should be based on guidance and good practice rather than a rigid legal instrument.

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  • The draft Model Investment Dispute Prevention and Management Protocol is intended to establish a framework for states to handle international investment disputes, covering areas such as decision making, financial considerations, and coordination between agencies.
  • IISD argues that the proposed Protocol is counterproductive for states because it transforms practical dispute management into a rigid legal instrument, which may create new legal risks and hinder states from developing alternative positions to arbitration.
  • The Energy Charter Treaty (ECT), managed by the International Energy Charter Secretariat, was originally designed to integrate energy sectors of Eastern Europe and the former Soviet Union into Western European markets, but has primarily focused on international arbitration and investment protection.

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APA
Bernasconi-Osterwalder,, N. (2018). International Energy Charter Draft Model Investment Dispute Prevention and Management Protocol. International Institute for Sustainable Development. https://www.iisd.org/articles/policy-analysis/international-energy-charter-draft-model-investment-dispute-prevention-and
Chicago
Bernasconi-Osterwalder,, Nathalie. International Energy Charter Draft Model Investment Dispute Prevention and Management Protocol. International Institute for Sustainable Development, 2018. https://www.iisd.org/articles/policy-analysis/international-energy-charter-draft-model-investment-dispute-prevention-and.
Wikipedia
{{cite report |last1=Bernasconi-Osterwalder, |first1=Nathalie |title=International Energy Charter Draft Model Investment Dispute Prevention and Management Protocol |publisher=International Institute for Sustainable Development |date=10 August 2018 |url=https://www.iisd.org/articles/policy-analysis/international-energy-charter-draft-model-investment-dispute-prevention-and |access-date=17 August 2026 |via=Climate Insights Directory}}
BibTeX
@techreport{bernasconiosterwalder2018international, author = {Bernasconi-Osterwalder,, Nathalie}, title = {{International Energy Charter Draft Model Investment Dispute Prevention and Management Protocol}}, institution = {International Institute for Sustainable Development}, year = {2018}, month = aug, url = {https://www.iisd.org/articles/policy-analysis/international-energy-charter-draft-model-investment-dispute-prevention-and}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }

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