The European Commission has told member countries that a joint EU exit from a controversial international energy treaty appears inevitable, according to a document seen by Reuters, with some of them already leaving the accord on climate concerns. The 1998 Energy Charter Treaty, which has around 50 signatories including European Union countries, was designed to protect companies in the energy industry by allowing them to sue governments on policies affecting their investments.
The stated aim of many governments is to transition away from fossil fuels in line with the Paris Agreement – an aim made more urgent by the need to end dependence on Russian energy. The international Energy Charter Treaty risks frustrating these aims.