ICSID Additional Facility Rules Sample Clauses

ICSID Additional Facility Rules. Pending the EU’s accession to the Convention, a ‘transitional’ structure is ne- cessary to fill the gap. Established in 1978, the ICSID Additional Facility is another mechanism established under the ICSID framework. Under Article 2, it covers disputes arising between a state which is not a party to the ICSID Convention and an investor national of a party state, or between a state party to the ICSID Con- vention and an investor national of a non-party state. Parallel to the ICSID Con- vention, the Additional Facility Rules follow the state-oriented approach in its def- initions. Not being a state, the EU falls again out of the scope of Additional Facility Rules despite the fact that it matches the ‘non-member’ criteria107. 106 Commission Communication of 7 July 2010 10. 107 Statement by the European Communities to the Secretariat of the Energy Charter pursuant to Article 26(3)(b)(ii) of the Energy Charter Treaty, OJ 1998, L69/115, last paragraph: ‘As far as international arbitration is concerned it should be stated that the provisions of the ICSID Convention do not allow the European Communities to become parties to it. The xxxxx://xxx.xxx/10.5771/9783845246130-55 77 However, the Rules are not without interest for the EU, as the amendment pro- cedure is much lighter than the one of the Convention. Pursuant to Article 6 of the ICSID Convention, the Administrative Council shall ‘adopt the rules of procedure for conciliation and arbitration proceedings’, and the same article specifies that such adoption shall be conducted ‘by a majority of two-thirds of the members of the Administrative Council.’108 Therefore, we believe that in view of an amendment of the Additional Facility Rules (probably around 1-2 years), the EU can and should include them in its future BITs as a dispute settlement alternative. The necessity of becoming a party to the ICSID Convention would then no longer pose such an urgent problem for the EU.