Resolving Investor Protection in Climate-Related Disputes: Some Legal Reflections

Article

He, Lingling and Zhao, Xiaobo. 2025. "Resolving Investor Protection in Climate-Related Disputes: Some Legal Reflections." Environmental Policy and Law. https://doi.org/10.1177/18785395251385826
Article Title

Resolving Investor Protection in Climate-Related Disputes: Some Legal Reflections

ERA Journal ID35483
Article CategoryArticle
AuthorsHe, Lingling and Zhao, Xiaobo
Journal TitleEnvironmental Policy and Law
Number of Pages14
Year2025
PublisherSAGE Publications Ltd
Place of PublicationUnited States
ISSN0378-777X
1878-5395
Digital Object Identifier (DOI)https://doi.org/10.1177/18785395251385826
Web Address (URL)https://journals.sagepub.com/doi/full/10.1177/18785395251385826
Abstract

The global implementation of climate measures has generated complex legal challenges at the intersection of climate
change mitigation and international investment law. While governments increasingly adopt regulatory measures to
address their climate concerns, these policies have caused a rise in investor-state disputes. This article examines the
legal challenges emerging from investor-state arbitration mechanism when states implement climate-related regulatory
policies. It investigates the tension between state sovereignty in climate policy and international investment protection
obligations. The analysis identifies systemic obstacles in the current arbitration practice and proposes approaches to
reconcile the competing imperatives of climate action and investor protection. By analysing the legal implications of climate change regulatory measures, this article advances the scholarly discourse on climate governance and international
investment law.

Keywordsclimate-related investment dispute; climate change; investor-state dispute settlement; environmental regulation
Contains Sensitive ContentDoes not contain sensitive content
ANZSRC Field of Research 2020480202. Climate change law
480308. International trade and investment law
Byline AffiliationsSchool of Law and Justice
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