France will now join other European nations like the Netherlands and Spain in pulling out of the Energy Charter Treaty which protected investments within the energy sector, according to a statement by President Emmanuel Macron.
While speaking at the end of a European Union summit in Brussels, Macron said:
“We have decided to pull out of the Energy Charter Treaty.”
This treaty, which has over 50 signatories including the European Union, was developed to secure energy supplies and grants protection to firms investing in the energy sector.
Nonetheless, in recent years it has been utilized by fossil fuel and renewable energy firms to sue governments for any regulatory changes that threaten returns on particular investments.
