10 Dec 2024 Articles

The Energy Charter Treaty: Misguided Fears or Self-Interest?

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Compass Lexecon’s International Arbitration experts, Julian M. Delamer and Alan Rozenberg, have analysed the shifting dynamics of the Energy Charter Treaty (ECT) in the context of the global energy transition. 

Drawing on their extensive experience in quantum expertise for ECT-related arbitrations, the team examine how the treaty's role has evolved, particularly since the adoption of the Paris Agreement. Supported by Vladimir Tsimaylo and Gurmehar Singh Sethi, their insights highlight the increasing scrutiny of the ECT, as several member states announce plans to withdraw, citing concerns that the treaty may obstruct efforts to tackle climate change.

Originally signed in 1991 to promote energy security, investment, and trade, the ECT is now criticised for protecting fossil fuel interests that conflict with global climate goals.

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