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Trade and Investment Rules for Energy

III. Aiding the Movement and Delivery of Energy Services

Recommendations

Based on a review of the work done in this area, including in the WTO and by other governmental and non-governmental bodies and by recognized experts in the field, the Task Force recommends the following for consideration by governments.

  • Whether or not the Doha Round is re-activated, governments should accord special consideration to improved terms for the delivery of energy services as an integral component of economic development, particularly for emerging economies and developing countries in general.
     
  • Taking the preceding into account, governments should commit to current levels of market access and agree to a standstill on new trade restricting measures in energy related sectors and sub-sectors where WTO members have not made specific commitments under the General Agreement on Trade in Services (GATS).
     
  • In negotiating bilateral or regional free trade agreements, governments should consider including these same levels of market access and standstill commitments for energy services.
     
  • Implementation of the UNFCCC and any other regime governing carbon emission reductions in the post-2012 era should ensure that energy services are accorded non-discriminatory market access and other treatment in accordance with the principles of non-discrimination and national treatment under the GATT and the WTO Agreement.
     
  • The global energy industry, under the leadership of WEC, should develop an agreed energy services list, taking into account the plurilateral requests made in the Doha Round. As part of this exercise, the efficacy of these requests in removing and eliminating the most serious trade barriers and market impediments faced by the energy sector should be assessed.
     
  • The energy industry, under WEC's guidance, should also examine where domestic laws, regulations, and policies (such as competition laws) restrict modes of supply and impede delivery of trans-boundary energy services. This could include an assessment of competition policies and practices that inhibit the growth of open service markets.
     
  • Finally, governments should recognize that the foregoing requires balancing State sovereignty over natural resources and the exclusive rights of governments to legislate in the public interest with the need for clear, fair, and transparent treatment of all energy service providers in accordance with the rule of law.