Environmental Engineering Reference
In-Depth Information
Taking this as a worst case scenario, the Desertec Concept would not violate public
policy if these benefits prevailed. The risk of public policy claims remains rather
small in the case of an investor and Morocco partnership.
2.8 Remarks on Desertec and Arbitration
International commercial and investment arbitration offer a good possibility to
secure the Desertec Concept and to resolve disputes between the parties. It is
however not advisable that national courts be used. Due to widespread corruption,
they do not offer an effective and impartial alternative to international arbitration.
The problems which the project might face are not particular problems connected to
this project, but exist generally. There are tools like the stabilization clause and the
waiver of immunity from execution, which offer additional security. Both are
subject to negotiation and should not be demanded by the investor. It is necessary
that there is balance between all interests in order to successfully implement this
project and to avoid unnecessary disputes. Besides the choice of the ICC as
arbitration institution, the CAM, which closely cooperates with Arab arbitration
institutions, might function as a “mediator” between European and MENA stereo-
types. In addition, the parties should also carefully choose each arbitrator and pay
attention to his or her cultural background. Then no party would feel underrepre-
sented. All this must be balanced. Morocco should not “play the cultural card” too
often as this might cause discontent and harm the cooperation.
In addition, arbitration is common legal tool in the MENA region. Therefore, it
is likely that these verdicts will be accepted. Despite the revolutions, even liberal-
ization groups adhered to international contracts previously negotiated by the
government (e.g. oil exports from Libya). Hence, there seems to be a general
interest to fulfill contractual obligations which are beneficial for the country in
question. This means that an investor should focus on Morocco and not Europe with
regard to energy production and the benefits resulting from the Desertec Concept.
In doing so, it will gain a lot of credit and to some extent immunity if difficult
political times occur.
References
Aaken A (2006) Zwischen Scylla und Charybdis: Volkerrechtlicher Staatsnotstand und
Internationaler Investitionsschutz. ZVglRWiss 544-569
Abdala MA, Spiller PT (2008) Chorz
s standard rejuvenated. J Int Arbitr 25:103-120
Ahdab JE, Stackpool-Moore R (2008) Arab arbitration v. international arbitration? The case for a
reconciliation. J Int Arbitr 25:275-288
Alexandrov SA (2009) Enforcement of ICSID awards: Articles 53 and 54 of the ICSID conven-
tion. In: Binder C, Kriebaum U, Reinisch A, Wittich S (eds) International investment law for
the 21st century - essays in honour of Christoph Schreuer. Oxford, pp 322-337
ow
'
