Why the EU must withdraw from the ECT now
The Energy Charter Treaty (ECT) is a trade and investment agreement between countries in Europe and Asia that protects investments in the energy sector. According to the ECT, fossil fuel companies can sue governments for billions of dollars in private arbitration if, for example, government action against climate change affects future profits. In this short factsheet, we assess the reform process of the Treaty, which was launched in 2018. What did the EU want to achieve with the reform? And will it achieve these goals?
