Yesterday, on December 22, was held a round table on the topic: “The state against green investors: the emergence of disputes and prospects for their resolution”, the purpose of which was to discuss in an expert circle the legal mechanisms for the protection of investors’ rights in the field of renewable energy sources, discussion of legal prospects for recovery of funds for electricity generated and losses incurred, to consider the international experience of production and consumption of RES and the practice of international arbitration based on the results of the review of investment conditions in the field of RES.
Among the main theses voiced by professional lawyers is that changing the current rules during implementation projects – it is a violation of the basic principle of law.
There is no precedent principle in arbitration, that is, each case is considered individually and the decision is made solely on the basis of the results of the consideration, but not on the history of such cases. Well-known courts have been mentioned about disputes between investors and the country of Spain regarding the violation of investors’ rights and that payments to investors are still ongoing. On average, arbitration disputes can last 15-18 months, however, there are exceptions to longer consideration, also it is necessary to calculate that the budget of arbitration makes within 3-5 million US dollars.
In addition to arbitration, lawyers were informed about the tools of protection of investors’ rights by national litigation. SE “Guaranteed Buyer” said that he had filed a lawsuit against “NEC “Ukrenergo” in the amount of UAH 25 billion, while against the “Guaranteed buyer” has submitted 105 lawsuits amounting to UAH 1.1 billion.
Oleksandra Gumeniuk, Director of EUEA, took the opportunity to ask Maxym Yurkov, a Board member of the “NEC “Ukrenergo” on the readiness to make payments to repay 40% of the UAH 22.4 billion debt to RES producers, however, no clear answer was heard, referring to the complexity of the negotiation process with banks to raise funds.
Just to remind, a press conference of industry associations in the renewable energy sector was recently held, which summed up the results of 2020 in the RES sector, where, in particular, was announced the state of settlements with electricity RES producers, forecasts of payments for the next year, as well as the state of implementation, (more precisely, non-implementation) of the peace agreement – Memorandum of Understanding. which was signed between the Government of Ukraine and RES associations. Details…
Thanks to the initiators of the event – Committee on Energy Law and the Committee on International Law of the Ukrinian National Bar Association (UNBA).
The round table was attended by:
- Vlasyuk V., Chairman of the UNBA Committee on International Law;
- Gvozdiy V., Deputy Chairman of the UNBA;
- Trokhymets O., Chairman of the UNBA Committee on Energy Law;
- Nikitenko R., Member of the UNBA Committee on International Law;
- Gerus A., People’s Deputy of Ukraine, Chairman of the Committee of the Verkhovna Rada of Ukraine on Energy and Housing and Communal Services;
- Yurkov M., Member of the Board of “PJSC NEK Ukrenergo;
- Skoreyko N., SE “Guaranteed Buyer”, Head of Legal Department;
- Konechnekov A., President of the Wind Energy Association of Ukraine;
- Gumeniuk O., Director of the European-Ukrainian Energy Agency.
Watch the conference by the following link: