ABSTRACT
This chapter addresses the role of the Energy Charter Treaty, the failed attempt at its modernisation against the background of the reasoning provided by the Court of Justice of the EU in Komstroy (C-741/19) and Opinion 1/20, and the final step the EU is taking to exit the treaty. The chapter outlines the reasons why efforts to modernise the Energy Charter Treaty have failed and provides options for resolving cross-border energy disputes without the treaty. In particular, the author focuses on the principles of protection provided to the legitimate expectations of investors under the regime of EU law and the European Convention of Human Rights. The author concludes that while various alternatives to the Energy Charter Treaty are possible, they are unlikely to be put into practice in the near term. Just as the Energy Charter Treaty threatens the implementation of climate commitments, a destabilised environment that does not provide investors with sufficient certainty of protection for their investments may contribute to the same undesirable outcome.
