Thomas Lehmann talks about his recent research on the above topic.
Thomas Lehman (International Investment Law PhD, 2024) is currently doing an internship at Gaillard Banifatemi Shelbaya Disputes in Paris, France. He is also working on publishing his recent PhD dissertation. Here Thomas talks about the topic that he researched and his inspiration behind it: “I am a French academic and soon-to-qualify Avocat. Throughout my decade of education, I have endeavored to understand how ideas shape reality. I studied Philosophy at Lycée Louis-le-Grand in Paris, History and Political Science at Humboldt University of Berlin, Law at Paris-1 Sorbonne University, and International Law at Toulouse-1 Capitole, Paris-1 Sorbonne, and City University of Hong Kong. In 2020, I embarked on a PhD at CCLS under the guidance of late Dr. Daniel Behn (Senior Lecturer in International Dispute Resolution). Upon his untimely passing, I was fortunate to receive outstanding supervision from Dr. Remy Gerbay (Lecturer in International Arbitration) and Professor Stavros Brekoulakis (Director of the School of International Arbitration and CCLS Lecturer).
The PhD I defended on 22nd May 2024 was prompted by the political outcry claiming that international investment treaties (such as the Energy Charter Treaty) thwart the net zero transition and prevent states from complying with international climate change law (such as the Paris Agreement, or Glasgow Pact). I decided to investigate this claim. I found it untrue. I rather establish that, instead of “clashing”, international climate change law and international investment law can complement each other.
The PhD focused on two topical questions in relation to the protection of energy investors’ legitimate expectations under investment treaties:
I found that both questions could be answered positively.
In a nutshell, I found that climate change law may find its way into the assessment of foreign energy investors' legitimate expectations based on a careful analysis of relevant case law. I uncovered that the time of the investment, the risks assumed by the investor, and the foreseeability of measures directly affect the scope of investors' expectations. Given the bearing of climate change laws on each of these factors, I contend that clean energy investors may justify their legitimate expectations to incentives on the host state’s climate change commitments. Correspondingly, fossil fuel investors' expectations of regulatory stability may face challenges under progressively stricter climate legislation.
The research is the first comprehensive assessment of the impact of international climate change law on energy investors’ legitimate expectations in investment arbitration. It informs (1) the states ability to adopt climate policies and to revoke them under international investment law, and (2) energy investors on the risks of investing in certain industries. It also contributes to the scholarship on the legal interaction between “regimes” of international law.
After years of meticulous work – discussing ideas with PhD friends, drafting and re-drafting paragraphs, fine-tuning arguments, and sculpting sentences – I was honoured to hear Julian Lew say: “We are happy to accept this as a doctoral thesis”. I am immensely thankful to CCLS, and especially to my supervisors, Dr. Remy Gerbay and Professor Stavros Brekoulakis, as well as the esteemed jury members, Professor Julian Lew and Professor Klaus Sachs, for their guidance throughout this enriching academic journey.”