The Polluter Pays Principle under WTO law: The case of national energy policy instruments

This study addresses the compatibility of the Polluter Pays Principle (PPP) with obligations under world trade law as administered by the World Trade Organization (WTO). In particular we look at the instruments of German domestic and international energy policy, analysing the relationship between those instruments, the PPP and WTO rules. The main finding is that German national environmental policy instruments for the implementation of the PPP generally do not infringe upon WTO rules if properly designed and applied. In particular, German energy laws, which aim at reducing greenhouse gases, are compatible with international trade law. Command and control policies as well as labels do not discriminate against foreign suppliers. Aspects of possible incompatibility of national energy policy measures with specific WTO rules are discussed. (orig./CB) / German translation see UBA-FB--000555 / Available from TIB Hannover: RA 8422(2003,76) / FIZ - Fachinformationszzentrum Karlsruhe / TIB - Technische Informationsbibliothek / SIGLE / Bundesministerium fuer Umwelt, Naturschutz und Reaktorsicherheit, Berlin (Germany) / DE / Germany