Study On The "Energy Charter Treaty" Investment Arbitration Clause And The Impact On China Energy Cooperation

Energy is the important topic of common concern to today's international community, especially after World War II occurred in three energy crisis, prompting countries around the world find ways to resolve the issues of energy supply and consumption. "Energy Charter Treaty" had been brought when political and economic crisis of the former Soviet Union, which threaten the energy supply of the European Economic Community and other Western European countries. The purpose of ECT is to protect the security and stability of international energy cooperation. ECT as a legally binding law system is very complicated, and in particular, Article 26 - Investment Arbitration clause. The clause had a profound impact on the treaty practice of the international community, or even become a model to resolve the investment disputes of investors– states in the bilateral investment agreement. This paper makes research and analysis on the investment arbitration clause in order to make recommendations for our participating in international energy cooperation and international energy negotiations.ChapterΙdescribes the background of the topics, theoretical and practical significance, as well as domestic and international scholars'research situation on the ECT. It analyzes the shortcomings of current research and establishes its own innovations, while this chapter also shows that the author own inadequacies and direction.Chapter II firstly introduced the historical and legal framework of the ECT, and then the treaty's dispute settlement mechanism is divided into two categories. One is between States and the other is between investors and States. This chapter makes a brief description for the former and in-depth reading of the text for the latter's.Chapter III by comparing the investment arbitration clause of the ECT to the ICSID mechanisms the author summarized the innovations of the clause: investor's right of compulsory arbitration, the right to arbitration at any time, the right to exclusive application of the international law.Chapter IV makes the in-depth study on investment arbitration cases under ECT from the subject, object and subjective of jurisdiction in order to definitize the elements of jurisdiction on investment arbitration. Chapter V analyzes the ECT investment arbitration clause from the perspective of Principle of National Sovereignty and National Treatment System. It points out the theoretical value and practical significance, but also to criticize them.Chapter VI examines China's the history of investment arbitration system and learn from other countries'attitude facing to the ECT. Linking with China's current energy cooperation and the legal status author put forward China's choice and countermeasures for China's participation in international energy cooperation and negotiation.