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Dr. Daniela StölzgenGRS
Nuclear Phase Out and Operator’s Rights – The German Example
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The Nuclear Phase out in Germany
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2002
11th Amendement of the Atomic Act:nuclear phase out
2010
12th Amendment of the Atomic Act:lifetime extension
Fukushima moratorium of seven oldest plants
2011
13th Amendment of the Atomic Act:accelerated phase out
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Claims
Moratoriumconfirmed by the Federal Administrative Court
The Operator‘s Claims
13th Amendment of the Atomic Act
International Arbitration Energy Charter Treaty
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Financial Risk for the State
‘700.000 € / day‘
‘tens of billions‘
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Claims
Moratoriumconfirmed by the Federal Administrative Court
The Operator‘s Claims
13th Amendment of the Atomic Act
International Arbitration Energy Charter Treaty
Property rights
Principle of Equality
Freedom of Occupation
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Property Rights – Does the State Have to Pay Compensation?
Article 14 of the Basic law
(1) Property and the right of inheritance shall be guaranteed. Their content and limits shall be defined by the laws.
(2) Property entails obligations. Its use shall also serve the public good.
(3) Expropriation shall only be permissible for the public good. It may only be ordered by or pursuant to a law that determines the nature and extent of compensation. Such compensation shall be determined by establishing an equitable balance between the public interest and the interests of those affected. In case of dispute concerning the amount of compensation, recourse may be had to the ordinary courts.
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Property Rights – Does the State Have to Pay Compensation?
Article 14 of the Basic law
(1) …
(2) …
(3) Expropriation shall only be permissible for the public good. It may only be ordered by or pursuant to a law that determines the nature and extent of compensation. Such compensation shall be determined by establishing an equitable balance between the public interest and the interests of those affected. In case of dispute concerning the amount of compensation, recourse may be had to the ordinary courts.
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Property Rights – Does the State Have to Pay Compensation?
Article 14 of the Basic law
(1) Property and the right of inheritance shall be guaranteed. Their content and limits shall be defined by the laws.
(2) Property entails obligations. Its use shall also serve the public good.
(3) …
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Property Rights – Does the State Have to Pay Compensation?
How intense is the infringement of property rights?
Has the operators trust been violated?
Have previous costs been covered?
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Menue: Einfügen > Kopf- und Fußzeile 10
Principle of proportionality
Before Fukushima: ‚residual risk‘ considered acceptable
After Fukushima: assessment of the public good has changed
Protection of
ownership
Public good
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Principle of Equality
What is equal should be treated equally What is significantly different should be treated differently
Different treatments might be justified by differences between nuclear power plants
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Freedom of Occupation
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Freedom of Occupation Operator of a nuclear power plant = independent profession?
Freedom of occupation
Public good(social
acceptability)
Social acceptability
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International Arbitration – an Additional Risk for the State
Energy Charter Treaty protects foreign investors
Rights:- Article 13 protection against expropriation without
compensation- Article 10 (1) fair and equitable treatment requirement and
duty to observe any obligations vis-à-vis an investor or investment (umbrella clause)
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Main lessons learnt
Legal and financial risks not negligable Possibility for international arbitration increases these risks
Reliable long-term planning is important Proportionality of the legal measures has to be ensured
• One option: compensation payments