ABSTRACT

This chapter explores the general agreement on Tariffs and Trade (GATT) or World Trade Organization (WTO) disciplines related to trade-related environmental measures particularly in the international environmental law context. It suggests a series of institutional reforms that WTO Members should undertake to ensure the effective balancing of the trade and environment agendas. Fiscal measures passed to meet Climate Change Convention targets for reductions of dangerous anthropogenic emissions may be interpreted as running foul of GATT disciplines. A prime example has been the European Community's proposed tax on both carbon dioxide emissions and non-carbon dioxide emitting sources of energy. The creation of an environmental protection and sustainable development programme for the GATT system is overdue. WTO members should undertake a concerted effort to adapt the rules and institutions that govern international trade to contemporary understanding of the threats to natural resources, environmental quality, human health and sustainable development.