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LEGAL FRAMEWORK TO SUPPORT THE NORTHEAST ASIA SUPERGRID PROJECT

  • Journal of International Business Transactions Law
  • Abbr : IBT
  • 2018, (21), pp.157-181
  • DOI : 10.31839/ibt.2018.04.21.157
  • Publisher : The Institute for Legal Studies Dong-A University
  • Research Area : Social Science > Law > Private Law > International Commercial Transactions Law
  • Received : March 31, 2018
  • Accepted : April 30, 2018

JANG CHANGSUN 1,  Kim， Minchul 1

1녹색기술센터

Accredited

ABSTRACT

This paper studies on the current situation analysis of supergrid and the related laws that should be considered to overcome the current problems Northeast Asia facing, such as energy security and environment problems. First of all, we can secure the electricity supply if countries could share electricity using the fact that the time for electricity use greatly varies among countries. Also, construction of a supergrid would enable us to acquire various energy sources making it possible to overcome the energy price disadvantage that the gas price in Asia is more expensive than in North America or Europe. Besides, there will be additional effects resulting from related technologies’ development. From the energy supply security point of view, it will be helpful for peace in Northeast Asia as well. Next, we examined the international law related to trade of electricity for designing of supergrid in Northeast Asia. The automatic and unconditional most-favoured national (MFN) treatment obligation on GATT Article I, and the national treatment (NT) obligation in GATT Article III fully apply to trade in relation to electricity. International law and each country’s municipal law should direct appropriately to supergrid. Also, we reviewed the applicability of ECT for international law framework establishment in energy sector including supergrid. The ECT provisions focus on both free trade in energy materials, products and energy-related equipment, based on GATT/WTO rules and freedom of energy transit through pipelines and grids. It is essential to fully use the ECT potential to the advantage of participating member and observer States of NEA for energy cooperation through ECT.

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