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

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.