Posts Tagged Nafta
A short update on the innovation principle‘s continued (corporate-sponsored, let’s be frank) journey.
Thank you first of all prof Maria Lee for signalling the UK’s planned introduction of an ‘innovation test’, to be piloted as part of industrial strategy. Its goal is expressed as ‘We will create an outcome-focused, flexible regulatory system that enables innovation to thrive while protecting citizens and the environment.’ Not much more detail is given. Formulated as such, it does nothing that the current EU regulatory model does not already address – its true goal undoubtedly is a post-Brexit libertarian regulatory environment.
Further, Nina Holland observed with eagle eyes the link between Nafta 2.0 (USMCA) and innovation, in particular Article 12-A-4 ‘parties’ “recognize the importance of developing and implementing measures in a manner that achieves their respective level of protection without creating unnecessary economic barriers or impediments to technological innovation’ (like the UK initiative: meaningless for already addressed by current international trade agreements; the real intention actually is deregulation). American industry has been arguing that the US should ‘build on’ the new NAFTA when negotiating with the EU (should TTIP ever be resuscitated).
In Lone Pine Resoures v Canada, the company involved has filed a claim under NAFTA’s Chapter 11, which protects investors against ‘regulatory takings’. Quebec has placed a moratorium on fracking (shale gas exploration) by revoking all permits pertaining to oil and gas resources under the St Lawrence river.
I shall be reporting tomorrow on the rejection by the French Constitutional Court of the challenge to the French moratorium. In a related (not to fracking but to regulatory takings) development, the European Commission has posted an interesting defence of Biltateral Investment Treaties here. Reference is made ia to the ongoing Philip Morris and Vatenfall (Nuclear energy) issues, both high profile cases of alleged regulatory taking.