Fossil fuel firms sue governments across the world for £13bn as climate policies threaten profits
'Fossil fuel firms sue governments across the world for £13bn as climate policies threaten profits', 16 September 2021
"Fossil fuel companies are suing governments across the world for more than $18bn (£13bn) after action against climate change has threatened their profits, according to research conducted by campaign group Global Justice Now and provided exclusively to Sky News.
Five energy companies, including British companies Rockhopper and Ascent, are using a legal process that allows commercial entities to sue governments under international laws governing trade agreements and treaties.
These corporate arbitration courts operate outside of a country's domestic legal system.
According to Global Justice Now, which has collated publicly available information, five of the largest lawsuits under way are being brought by TC Energy, RWE, Uniper, Rockhopper and Ascent Resources.
The $18bn they are collectively suing for is almost a quarter of the entire climate funding provided by developed nations for developing ones, according to the Organisation for Economic Co-operation & Development's (OECD) most recent assessment.
Rockhopper is currently suing the Italian government for $325m (£234.8m) in a dispute related to a ban on offshore oil drilling close to the coastline...
... The majority of the cases are being brought under the Energy Charter Treaty, and are being hosted within the International Centre for The Settlement of Investment Disputes, a branch of the World Bank. The Energy Charter Treaty was created after the end of the Cold War and was designed to provide a stable, transparent legal framework that protected foreign investors as energy markets opened up..."