Energy Dual Pricing in the WTO with an Emphasis on Permanent Sovereignty on Natural Resources

Document Type : ISI

Authors

1 Professor of Law and Political Science Faculty, University of Tehran, Farabi Campus

2 PhD student of International law, University of Tehran, Alborz Campus

Abstract

In the past decade, some developing countries, based on the principle of the PSNR as one of their inherent rights recognized by the international community and the United Nations, have engaged in Energy Dual Pricing in order to promote their economic level. On the other hand, developed countries were on the opinion that the actions of energy-holding states are in violation of the fundamental principles of the WTO, such as the principle of free trade, principle of commercial non-discrimination and the principle of national Treatment. Therefore, numerous cases were filed and engaged by the DSB of WTO. According to the DSB, the conflicts between the principle of free trade and the principle of the sovereignty of the state on natural resources are non-real and in fact there is no conflict between them. We thus, having respected the rules of general international law and also taking into account the fundamental principles of the WTO as special rules, make a balance between these two principles. Also the DSB of WTO states that none of the WTO's bilateral trade agreements have explicitly forbidden energy dual pricing, and to understand whether energy dual pricing violates the principles of the  WTO or not, it should be considered in the light of all the circumstances, on a case by case basis.

Keywords

Main Subjects


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