As #COP30 enters week 2 and there’s talk of a "roadmap" to fossil fuel phaseout, States cannot ignore a major legal roadblock: #ISDS. It's high time to disarm the fossil fuel industry of a legal weapon that risks making the fossil fuel phaseout that science & law require too costly to deliver.
At #COP30 CIEL & partners are sounding the alarm: investment treaties are a systemic barrier to climate action that demands a systemic solution. The #ICJ made clear, States have a legal duty to regulate fossil fuels & prevent climate harm. But ISDS lets investors sue them for doing just that.
Paying polluters cannot be the price for taking climate action in line with countries’ legal obligations. Investor-State Dispute Settlement (ISDS) turns the polluter pays principle on its head, allowing companies to demand damages when States move to phase out fossil fuels. It’s time to #ExitISDS
Law leaves no doubt: States must use all means available to curb fossil fuel production, use, licensing & subsidies, or face legal consequences. Commitments to foreign investors cannot override legal duties to the international community as a whole, to prevent climate harm & protect #HumanRights.
We cannot let ISDS drain resources for climate action or chill measures to phase out fossils and boost renewables. Money spent fighting ISDS claims means less money for mitigation, adaptation, or #LossAndDamage. Paris 2.1(c) demands shifting flows *away* from fossils, not paying polluters.
Myth-busting: #ISDS isn’t needed to attract renewables. Evidence shows investment treaties aren’t decisive for clean energy flows. What matters: rule of law, political stability, grid access and a level playing field, not subsidies propping up fossil fuels and locking in oil & gas dependence.
The fix: Exit ISDS to exit the fossil fuel era. States set up ISDS so States can take it down. Withdraw from ISDS, carve out climate action, bar protections for fossil fuels, and align investment flows with climate obligations, to protect policy space & fund the just transition. Law points the way.

International Investment Law a...
International Investment Law and ISDS: Overcoming Legal Barriers to Effective Climate Action under the UNFCCC and the Paris Agreement - Center for International Environmental Law

This brief shows how ISDS lets foreign investors sue governments over climate policies, hindering global efforts, especially in fossil fuels.

Center for International Environmental Law
International Investment Law and ISDS: Overcoming Legal Barriers to Effective Climate Action under the UNFCCC and the Paris Agreement - Center for International Environmental Law

This brief shows how ISDS lets foreign investors sue governments over climate policies, hindering global efforts, especially in fossil fuels.

Center for International Environmental Law