Since the adoption of the Paris Agreement in 2016 and its entry into
force, businesses have struggled to adjust to the increasing
regulation of emissions. International arbitration and alternative
dispute resolution ("ADR") are increasingly becoming the
choice for businesses in effectively resolving climate
change-related disputes.
In April 2017, the International Chamber of Commerce Commission on
Arbitration and ADR created the ICC Task Force on Arbitration
of Environmental and Climate Change Related Disputes, whose draft
report is in the final stages of approval.
Among its findings are that in commercial contracts concerning
the sectors most severely impacted by the transition to sustainable
energy, ICC arbitration and ADR were frequently adopted as the dispute
resolution mechanism. For instance, in the fields of energy, urban
and infrastructure, global and regional land use, and industry,
arbitration is increasingly being chosen as the favored means of
resolving
