It appears that investors are using investment treaties in ways that can significantly frustrate government efforts to effectively and adequately regulate public private partnerships in the public interest.
The World Bank’s ICSID has granted Pakistan a stay order of six months in the Reko Diq case in which Islamabad was awarded with a whopping $6 billion fine.
The Micula saga is characterized by the ICSID award (and its review by the ad hoc Committee) being just the beginning rather than the conclusion of the dispute.
A written submission from Japan published by the ECT secretariat rejected language on the “right to regulate” and changes to the investor-state dispute resolution mechanism.
The District Court of The Hague ruled in favor of Chevron in its dispute with the Republic of Ecuador, upholding a 2018 arbitral award rendered by an international tribunal administered by the Permanent Court of Arbitration.
The tribunal held that the Mexican authorities had not violated international commercial law or breached their commitments under treaties to which they were a party.
As the UK regains full responsibility for its trade and investment policy post-Brexit, it must seriously consider its approach to international investment protection.
Negotiators have ruled out an overhaul of private courts that allow energy companies to sue national governments when climate change policies hurt their profits.