Climate change and socio-environmental conflicts in the context of investment arbitrations

Abstract

The purpose of arbitration, as a dispute resolution mechanism, is to resolve disputes arising between different agents, who decide by means of a contract to submit to arbitration the possible disagreement that could arise between them. In many cases, one of the parties to the dispute is a State, which celebrates an investment contract with a private agent.
The phenomenon of climate change has been the subject of international arbitration in recent years, as it is a cross-cutting issue that today has repercussions on the planning and operation of various investment projects. In addition, investment projects also face obstacles related to state inactivity with respect to socio-environmental conflicts, such as the takeover of projects by native communities.
The purpose of this article is to present a brief summary of some of the investment arbitration proceedings that we consider most relevant in resolving international conflicts related to climate change and the environment, and to determine some of the criteria adopted by investment arbitration tribunals and the relevance of each case discussed.