Home

Translate

Open Translation

LONDON, UK: According to new data, a secretive arbitration court set up after the collapse of the Soviet Union is now being used by corporations to award themselves billions in taxpayer funds.

The Investor State Dispute Settlement (ISDS) is a mechanism commonly included in investment and free trade agreements. It enables foreign investors to sue countries in corporate tribunals when they believe their profits have been, or will be, harmed by a public measure. According to observers, in many cases they attack legislation designed to protect the climate, the environment, or local communities.

Data published by the Transnational Institute, the Trade Justice Movement and PowerShift suggests accumulated public money awards of US$114 billion is more than the climate finance provided by developed countries for developing countries in 2021.

The three non-profits have responded with a ‘Global ISDS tracker’ searchable database of 1,362 cases: "The data shows that there is a consistent trend of foreign investors using these corporate courts to sue countries that implement environmental policy - and it is mostly investors located in the USA and Europe suing countries in Latin America and Africa," explains Lucía Bárcena, Trade Policy Officer at the Transnational Institute.

“The data backs up what we’ve been saying for years: ISDS is the secret weapon for fossil fuel companies against climate laws,” adds Tom Willis, director of the Trade Justice Movement.

UN Special Rapporteur David Boyd says the ISDS has become a major obstacle to the urgent actions needed to address the planetary environmental and human rights crises.

He notes foreign investors use the dispute settlement process to seek exorbitant compensation from States that strengthen environmental protection, with the fossil fuel and mining industries already winning over $100 billion in awards.

According to UN data, the 12 largest ISDS awards occurred between 2005 and 2007 and totalled US$96.7 billion.

”The injustice is glaringly obvious: countries in the Global South are the main victims of ISDS, while corporations from Europe and North America benefit. It transfers public money into the hands of a few corporations and their shareholders,” adds Fabian Flues, Powershift researcher and campaigner. “It is high time for countries everywhere to leave the treaties that include ISDS so that they can build a fair and sustainable future.”

Last month the Belgian EU presidency announced all European Union Member countries have agreed to quit the ISDS over concerns it protects fossil fuel investments and undermines efforts to fight climate change.

https://www.globalisdstracker.org
Story Type: News

Vote for my Story

Our Rating: 9% - 1 votes

1000 Characters left


Latest News

May 25, 2024
Transportation Editor

European Commission sets deadline for airline greenwashing claims

BRUSSELS: The European Commission has asked 20 European airlines to respond to greenwashing charges by the European Consumer Association (BEUC) in relation to their marketing of Sustainable Aviation Fuel. Alerted by BEUC in 2023, the Commission and the…
May 23, 2024
Energy Editor

U.S. corporate collusion ignores climate chaos for profit

WASHINGTON, DC: A report by advocacy non-profit group Oil Change International (OCI) says Chevron, ExxonMobil, Shell, TotalEnergies, BP, Eni, Equinor, and ConocoPhillips have no plans to meet the Paris Agreement goal of limiting global warming to 1.5°C. All…
April 18, 2024
Biodiversity Editor

Humans face 19 percent drop in income from climate impact.

POTSDAM, Germany: According to scientists at the Potsdam Institute for Climate Impact Research (PIK), climate change is going to cost the world economy US$38 trillion a year annually to 2050. Based on empirical data from more than 1,600 regions worldwide over…
April 09, 2024
People Editor

Top European court says ignoring climate impact violates human rights

STRASBOURG: The European Court of Human Rights has, for the first time in law, acknowledged government failure to implement sufficient measures to combat climate change. A case brought by the Swiss Climate Seniors Association (SCSA) claimed Swiss authorities…
April 05, 2024
Transportation Editor

Watchdog claims box carriers profit from EU carbon emissions charge

BRUSSELS: Following the introduction of the world’s first carbon market for maritime shipping in January, a study by Transport & Environment (T&E) suggests container shipping companies are making significant profits from charging customers a surcharge to…
April 05, 2024
Emissions Editor

No change by fossil fuel producers since Paris Agreement

WASHINGTON, DC: According to new analysis, 80 percent of global CO2 emissions produced since the Paris Agreement have been the responsibility of 57 corporate and state entities. Countries and their state-owned companies account for 75 percent of the total…
March 19, 2024
Food Editor

Still butchering the planet

LONDON, UK: A report by environmental organisation Feedback says the world’s 55 largest industrial livestock companies have received over US$615 billion in financing since the Paris Agreement was signed in 2016. As of March 2023, it included US$287.8 billion…
February 28, 2024
People Editor

83 million Americans breathe unhealthy air

BROOKLYN, NY/SAN DIEGO, CA: A report from research and technology company First Street finds 83 million Americans are exposed annually to air quality thresholds categorized as “unhealthy” by the U.S. Environmental Protection Agency’s (EPA) Air Quality Index.…
February 22, 2024
People Editor

Nearly 50 million Americans deny climate change

ANN ARBOR, MI/CHICAGO, IL: A study by the University of Michigan School for Environment and Sustainability (SEAS) has concluded 12-26 percent of Americans, depending on location, deny the reality of climate change. The researchers used Twitter (now X) data…
February 21, 2024
Biodiversity Editor

UAE renewables deal needs US$8 trillion

DUBAI/BERLIN: Abu Dhabi National Oil Company CEO and COP28 president Sultan Al-Jaber says he will work with the presidents-designate of COP29 (Azerbaijan) and COP30 (Brazil) to ensure the tripling of investment in renewables agreed in Dubai last December.…
February 19, 2024
People Editor

US$281 billion war profit in two years

LONDON: Five fossil fuel majors have made over US$281 billion net profit since Russia’s invasion of Ukraine two years ago. According to a new analysis by Global Witness, Shell, BP, Chevron, ExxonMobil and TotalEnergies paid US$200 billion to shareholders in…
February 15, 2024
Manufacturing Editor

New CMA CGM feeder fleet designed for less CO2

MARSEILLE: CMA CGM has taken delivery of the first of 10 dual-use 2,000 TEU container vessels to operate on Mediterranean and Northern Europe routes. Initially powered by LNG to reduce sulfur oxide emissions by 99 percent, nitrogen oxide 92 percent and fine…

We are using cookies

By continuing you are agreeing to our use of cookies

I understand