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Meeting of the Legal Advisory Task Force on cross-border pipeline agreements

The Legal Advisory Task Force (LATF) held its first meeting since 2007 on 10 November 2014 at the Energy Charter Secretariat. Around thirty international experts (including from the ICC, SCC, ICSID and PCA) discussed the current use and potential review of the second edition of the Energy Charter's Model Agreements for Cross-Border Pipelines.

The experts concluded that the Model Agreements were well known and were used as a check-list, or first draft, when negotiating this type of agreement. Nevertheless, there is room for an update of those models in order to incorporate the recent practice, to consider widening their scope (e.g., LNG projects) and to provide more balanced options to both parties. Revisions could also consider current practices in America, Africa and Asia.

The debate during the LATF meeting also benefited from a comprehensive comparative study on existing intergovernmental agreements, which is being drafted by the Secretariat (with the help of a Trainee Ms. Barbara v. Gayling-Westphal). The study will take into account the input of LATF experts.

The Legal Advisory Task Force, created in 2001, currently has two sections: one focuses on the Model Agreements for cross-border pipelines (see list of members as of November 2014); and the other on a potential Model Investment Agreement and investment dispute resolution (see list of members as of November 2014). It is expected that the second section of the Legal Advisory Task Force will meet in December 2014 to discuss the draft report of the Secretariat on remedies under the Energy Charter Treaty, as well as the scope of the potential Model Investment Agreement.