Azerbaijan files arbitration case against Armenia for illegal exploitation of resources in Karabakh

Baku has filed an arbitration case against Yerevan under the Energy Charter Treaty (ECT), an international agreement focusing on cross-border cooperation primarily in the fossil energy industry, for exploiting energy resources in the Karabakh region, which was under 30 years of Armenian occupation.

Azerbaijani Foreign Ministry made a statement in this regard, per Caliber.Az.

"On January 12, 2024, the first procedural meeting in the inter-state arbitration brought by the Republic of Azerbaijan against the Republic of Armenia under the Energy Charter Treaty (ECT) took place at the headquarters of the Permanent Court of Arbitration in The Hague, Netherlands. Azerbaijan was represented at the meeting by the delegation led by Deputy Foreign Minister Elnur Mammadov," the statement reads.

"Azerbaijan commenced the arbitration proceedings on February 27, 2023, seeking redress for Armenia’s breaches of multiple provisions of the ECT and principles of international law. Azerbaijan’s notice of arbitration explained that Armenia breached its international obligations by refusing to recognize and respect Azerbaijan’s sovereign rights over the energy resources located in the Karabakh region, Azerbaijan’s internationally recognized territory that Armenia illegally occupied for nearly three decades," the ministry noted.
 
The statement stresses that throughout the illegal occupation, Armenia wrongfully excluded Azerbaijan from accessing its energy resources, expropriated those resources for its use and benefit, and deprived Azerbaijan of the opportunity to develop them. Azerbaijan was also prevented from harnessing the abundant hydropower, wind, and solar energy resources in the Karabakh region.
 
"The arbitration was initiated according to the ECT after the failure of several rounds of diplomatic negotiations between Azerbaijan and Armenia to achieve a satisfactory resolution of the dispute. The case will be decided by the arbitration comprising three judges who have been appointed by two Parties. The arbitration has been asked to rule definitively on Armenia’s non-compliance with its legal obligations under the ECT, and to order just compensation according to the rules of international law," the ministry said in a statement.