(1)

The Energy Charter Treaty (the ‘ECT’) was concluded by the Union by Council and Commission Decision 98/181/EC, ECSC, Euratom (2), and entered into force on 16 April 1998.

(2)

In the absence of any substantial update of the ECT since the 1990s, the ECT became increasingly outdated.

(3)

In 2019, the Contracting Parties to the ECT (the ‘Contracting Parties’) engaged in negotiations aimed at modernising the ECT in order to bring it into alignment with the principles of the Paris Agreement (3), the requirements of sustainable development and the fight against climate change, as well as with modern standards of investment protection.

(4)

During an ad-hoc Conference on 24 June 2022, the Contracting Parties reached an agreement in principle on the modernised text, thus concluding the negotiations, without prejudice to the final assessment by the Contracting Parties. The negotiated outcome was meant to be adopted at the 33rd meeting of the Energy Charter Conference (the ‘Conference’) on 22 November 2022.

(5)

Ahead of the meeting of the Conference, the Union has not adopted a position on the modernisation of the ECT.

(6)

In the absence of a Union position, the Union is unable to vote on the adoption of the modernised ECT at the Conference.

(7)

Considering all the above, the Union should withdraw from the ECT.

(8)

Several Member States have expressed their support for the proposed amendments to the ECT and have indicated their intention to remain Contracting Parties, subject to its modernisation. Those Member States should therefore be allowed, through a separate Council decision, to approve or not oppose the modernisation of the ECT at the Conference that will adopt that modernisation.

(9)

Pursuant to Article 47(1) of the ECT, a Contracting Party can give written notification of its withdrawal from the ECT to the Depository of the ECT, namely the Portuguese Republic. Pursuant to Article 47(2) of the ECT, such a withdrawal takes effect upon the expiry of one year after the date of the receipt of the notification by the Depositary.

(10)

The Union should withdraw from the ECT,