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International Investment Agreements (IIAs): Possible Ways Forward

Workshop on trade-related issues relevant to the implementation of the WHO FCTC

Elisabeth Tuerk

Geneva, 15 March 2012

OiC, International Investment Agreements Section Division on Investment and Enterprise

UNCTAD

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Overview

• Current Trends in IIAs and ISDS

• Possible Policy Options

– for dealing with existing and avoiding future ISDS cases

• fostering transparency

• guiding the interpretation of IIA obligations

• negotiating more sustainable development friendly IIAs

• preventing investor-State disputes

Current Trends in IIAs and ISDS

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By end of 2010, the IIA universe consisted of more than 3,100 “core” IIAs

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By end of 2010, the number of known IIA-based arbitrations has come to more than 390

Possible Policy Options

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Fostering transparency in IIA-related processes

• Increasing transparency & information sharing about investor-State dispute settlement (ISDS) cases

• Considering non-party contributions to ISDS cases

• Sharing experiences between States

• Promoting inclusive IIA-related decision-making

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Guiding the interpretation of IIA obligations

• Interpreting & clarifying obligations in IIAs and WHO FCTC

• Examples of statements in other, related contexts

• NAFTA Free Trade Commission’s interpretation of investment provisions (Chapter 11)

• WTO Doha Declaration on TRIPS and Public Health (2001)

• Punta del Este Declaration on the Implementation of the WHO Framework Convention on Tobacco Control (2010)

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Negotiating more sustainable development-friendly IIAs

• Considering sustainable development in the negotiation of new and re-negotiation/amendment of existing IIAs

• Considering to include, e.g.

– more focused/circumscribed provisions that foster legal predictability and clarity

– provisions that safeguard State's right to regulate public health matters (e.g. to implement the FCTC)

– general exceptions & reservations for public health measures

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Preventing investor-State disputes

• Using alternative forms of dispute resolution (ADR), e.g.

– resorting to conciliation (e.g. ICSID or UNCITRAL conciliation rules) or mediation

• Strengthening dispute prevention policies (DPPs), e.g.

– increasing coordination between trade, investment and health departments

– identifying lead agency, clarifying responsibilities

– creating investment ombudsmen or an “ombuds” office

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In addition …

• Raising awareness of IIA obligations and policy options

• Linking IIA policy-makers with public health communities

• Fostering policy and academic discourse

• Generating an informed and facts-based public debate

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Thank you!

Elisabeth.Tuerk@unctad.org

www.unctad.org/iia www.unctad-worldinvestmentforum.org

Twitter @unctadwif