ISDS Case Map
Indonesia
Indonesia terminates its BIT with the Netherlands from 1 July 2015 and may terminate all of its BITs
While certain countries have terminated individual BITs, termination of all BITs would be unprecedented.
Last week, the Indonesian government announced that it will terminate its Bilateral Investment Treaty (BIT) with the Netherlands, joining the growing number of countries concerned about the excessive corporate rights enshrined in investment agreements.
Several countries are reviewing these agreements, prompted by the number of cases brought by foreign companies who claim that changes in government policies affect their future profits.
Indonesian VP Boediono met with Dutch PM Mark Rutte on Sunday and explained that Indonesia’s decision not to extend its bilateral investment treaty with the Netherlands was common to all countries with bilateral investment agreements with Indonesia that would soon end.
According to the Netherlands Embassy in Jakarta, Indonesia has informed the Netherlands that it has decided to terminate the Bilateral Investment Treaty between the two nations from 1 July 2015. The Embassy also states that “the Indonesian Government has mentioned it intends to terminate all of its 67 bilateral investment treaties“.
Peruvian Trade and Tourism Minister Magali Silva has announced that, in the second half of this year, Peru and Indonesia will begin negotiations to reach an agreement that favors preferential trade between both countries.
The local administration in East Kutai regency, East Kalimantan, has threatened to file criminal charges against British company Churchill Mining Plc for allegedly forging its mining permits to operate mine areas in the regency.
Several local newspapers misread the recent decision by the Washington-based International Center for Settlement of Investment Disputes (ICSID) as a verdict forcing the Indonesian government to pay over US$1 billion in compensation to the plaintiff, London-listed Churchill Mining Plc, in regard to its coal mining concessions in East Kalimantan.
The thermal coal producer said the International Centre for Settlement of Investment Disputes rejected Indonesia's jurisdictional challenges and it can now pursue claims for damages under the respective Bilateral Investment Treaties Indonesia entered into with the United Kingdom and Australia.
The Obama administration often emphasizes the NSA’s role in fighting terrorism and cyberattacks, but disclosures in recent months from the documents leaked by Mr. Snowden show the agency routinely spies on trade negotiations.
