Sun Reserve v Italy

SunReserve, a Luxembourg-based holding company, brought an action for relief against Italy pursuant to the ECT, alleging that Italy breached, inter alia, the fair and equitable treatment Standard and Claimant’s legitimate expectations, undertook unreasonable and discriminatory measures amounting to a breach of the Impairment Clause, and violated the Umbrella Clause in relation to their investments in several PV plans in Italy. The Tribunal decided that Italy’s measures did not breach its obligation under the ECT, considering that Claimant had no legitimate expectations regarding fixed incentive tariffs and that the host State’s measure in question was due to a rational policy and Italy did not apply them on a discriminatory manner.