ISDS allows foreign investors to sue our Government

Investor-State Dispute Settlement

Oil pipeline company proceeds with $15 billion ISDS claim against US government for environmental regulation

September 30, 2022an international arbitration panel appointed last week will hear the claim of TransCanada Corporation for $15 billion compensation against the US government because it revoked a permit for the Keystone XL pipeline, claiming it would cause environmental damage. The pipeline is opposed by indigenous, farmer and other local communities  because it aimed to transport to the U.S. Gulf Coast up to 830,000 barrels per day of highly corrosive crude oil extracted from tar sands in Alberta, Canada, across more than a thousand rivers, streams, lakes and wetlands across six U.S. states.

First ISDS case over COVID-19 pandemic regulation lodged against Chile

September 15, 2022: The first known Investor-State Dispute Settlement (ISDS) claim concerning COVID-19 pandemic-related regulation was registered by French airport operating companies ADP International and Vinci Airports in August 2021 against Chile. The companies are arguing that Chile’s decision to close its borders during the height of the pandemic cost them US$37 million.

ISDS Tribunal orders Italian government to pay UK mining company A$360 m over oil and gas drilling regulation

August 25, 2022: The Guardian reports that the Italian government has been ordered by an international tribunal to pay EUR190 million plus interest, a likely total of EUR250 m, (A$360 m) to UK oil and gas company Rockhopper Explorations, because in 2015 Italy banned new oil and gas projects within 12 nautical miles of its coastline.

Labor must amend trade agreements that allow foreign companies to sue the government over energy and climate policies

August 10, 2022: Patricia Ranald's article in The Guardian argues that the Labor government should resist threats from international energy companies to use special legal rights in some trade agreements to sue for billions if they take action to safeguard energy supplies or phase out fossil fuels. These rights  enable  companies sue the federal government if a change in law or policy reduces their profits, even if the change is in the public interest,  known as Investor-State Dispute Settlement (ISDS).

Should foreign gas companies be able to veto decisions on gas supplies by threatening to sue governments?

 Labor's  policy platform says no, but wil they implement it?.

August 5, 2022: An article in The Conversation with the catchy title ‘ Hey Minister, leave that gas trigger alone” has urged the government not to use the Turnbull government’s “gas trigger” to compel foreign-owned gas companies to keep gas reserves for use in Australia because they could sue the government for billions of dollars. 

EU governments oppose the Energy Charter Treaty as Germany demands Uniper withdraw ISDS case against Netherlands

July 29, 2022Investigate Europe reports that key EU governments still want to leave the Energy Charter Treaty because its rules, known as Investor-State Dispute Settlement (ISDS) permit fossil fuel companies to sue governments for billions if they decide to phase out fossil fuel use as part of the EU’s climate pledges.