European Commission proposes a coordinated EU withdrawal from the ECT

On July 7, 2023, the European Commission proposed a coordinated withdrawal by the EU, its member states, and Euratom from the ECT, citing the treaty’s incompatibility with the EU’s climate targets under the European Green Deal and the Paris Agreement. During the 12 months prior to the Commission’s proposal, a host of EU member states—including Germany, France, Spain, and the Netherlands—had decided to walk away from the treaty due to the lack of climate ambition of its modernization efforts. “The outdated Energy Charter Treaty is not aligned with our EU Climate Law and our commitments under the Paris Agreement,” then Executive Vice-President for the European Green Deal, Frans Timmermans, said, adding that the EU instead should focus on building an energy system that “promotes and protects renewable energy investments.” IISD has analyzed the Commission’s proposal (here in English and here in German, published by Verfassungsblog).