Modernizing the Energy Charter Treaty: Recent Developments
Tuesday, May 9, 2023
The Energy Charter Treaty, widely ratified after the Cold War to facilitate production of new energy sources, has become a lightning rod for controversy in recent years.
Discord related to the treaty and its investor protections comes at a critical time, as European member states struggle with ambitious climate goals and the corresponding need to develop clean energy sources. As a result, the Energy Charter Conference created a working group to modernize the ECT and address the concerns raised by the ECT’s contracting parties.
During this event, DLA Piper partners:
- Reflected on the current state of play for ECT arbitrations, including award creditors’ ability to enforce ECT awards
- Discussed their perspectives on the ECT’s modernization process and what impact a modernized ECT may have on current and future investors in the energy sector
- Assessed alternative legal options available to ECT award creditors facing complications in enforcing their awards, as well as what steps future investors should consider to help protect their investments and ensure arbitration awards are protected.