The Portuguese government approved an agreement that prevents arbitration between investors and Member States under the Energy Charter. This decision comes in the context of the Energy Charter Treaty, an international agreement that has been used by companies to sue States for energy policies considered harmful to their investments.
The approved proposal reinforces the prevalence of European Union law in resolving investment disputes. This means that investors will no longer be able to resort to international arbitration courts to litigate against measures taken by EU Member States, with these issues now being resolved by European courts.
The agreement involves the European Union Member States, which thus adopt a joint position on this matter. Coordination between EU countries in this area allows for a more unified and consistent approach to investments in the energy sector.
The Resolution Proposal now goes to the Assembly of the Republic, where it will be debated and voted on by Portuguese deputies. This legislative process will allow parliament to express its opinion on Portugal's position on this European matter.
