Energy Subsidies and WTO Dispute Settlement: Why Only Renewable Energy Subsidies are Challenged

29 Pages Posted: 25 Oct 2014 Last revised: 31 Mar 2015

See all articles by Henok Asmelash

Henok Asmelash

Max Planck Institute Luxembourg; Bocconi University

Multiple version iconThere are 3 versions of this paper

Date Written: October 24, 2014

Abstract

Over the past few years, renewable energy subsidies have become one of the main sources of trade disputes in the WTO. A total of six cases have been initiated against renewable energy subsidy programs since the first of such disputes was brought by Japan against Canada’s Feed in Tariff (FIT) program in 2010. Yet not even a single case has so far been initiated against the much larger and environmentally harmful fossil fuel subsidies. The main objective of this paper is to examine what makes renewable energy subsidies vulnerable to WTO dispute, as compared to fossil fuel subsidies.

Keywords: WTO, SCM Agreement, Subsidies, fossil fuel subsidies, renewable energy subsidies, dispute settlement system

Suggested Citation

Asmelash, Henok, Energy Subsidies and WTO Dispute Settlement: Why Only Renewable Energy Subsidies are Challenged (October 24, 2014). FGV Direito SP Research Paper Series n. 107. Available at SSRN: https://ssrn.com/abstract=2514535

Henok Asmelash (Contact Author)

Max Planck Institute Luxembourg ( email )

4, rue Alphonse Weicker
Luxembourg, L-2721
Luxembourg

Bocconi University ( email )

Via Sarfatti, 25
Milan, MI 20136
Italy

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