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Newly Released Text for Modernized Energy Charter Treaty Shows Too Many Potential Obstacles for Climate Action
The International Institute for Sustainable Development (IISD) argues that the modernized Energy Charter Treaty (ECT) text, released on September 12, 2022, fails to resolve critical issues regarding fossil fuel carveouts and entry timing, creating legal uncertainty for governments implementing climate measures aligned with the Paris Agreement.
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Document type: Statement
Deal for Modernized Energy Charter Treaty Insufficient for Ambitious Climate Action
The International Institute for Sustainable Development (IISD) argues that the 'agreement in principle' to modernize the Energy Charter Treaty (ECT) is insufficient for achieving international climate goals. The organization highlights that the revised treaty continues to protect fossil fuel investments and allows for investor-state dispute settlement (ISDS) claims, potentially hindering governments' ability to implement environmental measures and meet Paris Agreement objectives.
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Document type: Statement
Investor–State Disputes in the Fossil Fuel Industry
This report by the International Institute for Sustainable Development examines how investor-state dispute settlement (ISDS) mechanisms are used by the fossil fuel industry to protect investments and obstruct climate actions, specifically the phasing out of fossil fuels.
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Document type: Report
The Future of Arbitration under the Energy Charter Treaty
This legal briefing examines the impact of the Court of Justice of the European Union (CJEU) Komstroy decision on intra-EU investment disputes under the Energy Charter Treaty (ECT). It argues that the ruling, alongside the Achmea and PL Holdings decisions, effectively bars investor-State dispute settlement (ISDS) between EU investors and Member States, creating significant legal and financial obstacles to the enforcement of arbitration awards. The document specifically analyzes how these rulings and EU State aid laws could impede claims by energy companies RWE and Uniper against the Netherlands regarding its coal phase-out policy.
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Document type: Briefing
The modernisation of the Energy Charter Treaty - ensuring consistency and mutual supportiveness between climate, energy and investment policies
A joint statement from the International Institute for Sustainable Development (IISD) and ClientEarth addressed to the European Commission, arguing that the Energy Charter Treaty (ECT) is an obstacle to the EU's climate goals and requires fundamental redesign rather than cosmetic modernisation.
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Document type: Statement
Belgium’s Model Bilateral Investment Treaty: A review
This report reviews the 2002 Belgian Model Bilateral Investment Treaty (BIT), arguing that it follows a traditional European model that provides extensive protections for foreign investors while imposing broad obligations on host states. The authors contend that the model lacks necessary refinements to preserve policy space for sustainable development, environmental protection, and labour rights, and fails to address governance issues in investor-state dispute settlement.
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Document type: Report
In the Arbitration under Chapter 11 of the North American Free Trade Agreement and the UNCITRAL Arbitration Rules
This document consists of the final submissions made by the International Institute for Sustainable Development (IISD) on October 16, 2000, to an arbitral tribunal. The IISD is petitioning for amicus curiae status in the Chapter 11 NAFTA arbitration between Methanex Corporation and the United States of America, arguing that the case involves significant public interest and environmental issues that warrant independent legal perspectives.
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Document type: Briefing