Understanding the Legal Implications of Early Decommissioning: Case Studies of Foreign-Invested Coal Power Plants in Asia

This paper discusses the legal implications of the early decommissioning of unabated coal-fired power plants (CFPPs) for host countries. The paper outlines the contractual frameworks governing foreign-invested CFPPs in Indonesia, Pakistan, and Vietnam as well as the risks and costs that this framework poses for governments seeking early decommissioning. It uses a contract-based analysis to identify who would bear financial responsibility for the stranding risks associated with the policy-driven phase down or early closure of these coal power plants.