A Critical Review of the Energy Charter Treaty from an Earth System Law Perspective

Abstract

The Energy Charter Treaty (ECT) is one of the best-known and most controversial of the international investment treaties. The energy transition necessary to achieve the Paris Agreement climate target will require large and sustained flows of investment capital. Scholars, environmentalists, industry representatives, and governmental officials have intensively debated the modernization of the ECT. The main point of contention is whether the ECT can facilitate the energy transition or whether it entrenches fossil lock-in in unsustainable and unjust ways. This article proposes a comprehensive and integrated approach to the ECT, guided by the theoretical matrix of Earth system law scholarship. Our analysis reveals that the ECT cannot address contemporary socio-ecological challenges, but rather it remains a sectoral piece of a supranational economic constitution far removed from the most pressing exigencies of the Anthropocene.