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The document examines the evolution of stabilization clauses in the extractive sector, arguing for a shift away from 'freeze' and 'economic equilibrium' clauses toward a model based on the 2021 OECD Guiding Principles. It distinguishes between non-fiscal stabilization, which it argues should be abandoned to protect the state's right to regulate for the public interest, and fiscal stabilization, which should be limited to specific, time-bound commercial needs. The guide provides detailed model language for laws and contracts to ensure revenue certainty for governments and predictability for investors, while explicitly excluding the use of stabilization to protect against anti-tax avoidance measures or climate-related regulations.

The International Institute for Sustainable Development (IISD) proposes a legal framework to protect states from ISDS claims arising from emergency COVID-19 measures. The proposal suggests a coordinated suspension of ISDS provisions for any state action taken after December 1, 2019, to manage public health and national economies. It offers both a multilateral approach for broad coverage and a bilateral approach for faster implementation, emphasizing that the determination of whether a measure is COVID-related should remain at the discretion of the host state to prevent tribunal interference.