Republic of Azerbaijan v. Republic of Armenia

Beginning on February 27, 2023, Azerbaijan initiated inter-state arbitration against Armenia with a Notice of Arbitration under Articles 18 and 7 of the Energy Charter Treaty (ECT). The claim alleged that Armenia, in its nearly 30-year occupation of Azerbaijan’s territories, violated Azerbaijan’s sovereign rights over its energy resources through illegal exploitation and denial of access. The proceedings are administered by the Permanent Court of Arbitration (PCA) in The Hague. Azerbaijan specifically alleged that Armenia breached provisions of the Energy Charter Treaty (ECT) by denying Azerbaijan access to its energy resources in the Garabagh region, exploiting energy resources for its own benefits, and preventing Azerbaijan from accessing the opportunity to further develop its energy infrastructure under its national energy policy and climate commitments. The Garabagh region was an especially critical area for hydroelectric power resources, as it contains 25% of Azerbaijan’s internal water resources. The proceedings are still ongoing, as Azerbaijan seeks reparations and accountability for Armenia’s interference in the development of clean energy infrastructure. In February 2025, the tribunal issued a decision granting Armenia’s request for Bifurcation, in an attempt to address Armenia's jurisdictional and admissibility objections.