New charter to govern international energy transit

The Energy Charter, an intergovernmental organization devoted to promoting East-West energy cooperation among its 51 European and Asian member states-including all the countries of the former Soviet Union (FSU)-is currently developing a new multilateral framework agreement, the Energy Charter Protocol on Transit, establishing new rules on energy transit issues under international law. The protocol aims in particular to bolster investor confidence in oil and gas projects involving cross-border transit out of Russia and the Caspian basin. This article explains what rules the transit protocol will contain and why its development is relevant for existing and future investors in the energy sec...

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