'Energy Dual Pricing in International Trade : Subsidies and Antidumping Perspectives'

This chapter discusses energy dual pricing policy applied by resources-endowed states in their energy sectors, including natural gas, coal, and electricity. The issue of energy dual pricing has a multi-faceted nature. It involves the aspects of public policy, including domestic investment policy, environment, trade, and competition. Striking the right balance between all of the above aspects appears to be a challenging task. As a result of the complex nature of energy dual pricing, its legality under different WTO agreements remains an open question, which has not been resolved either through negotiations or by WTO adjudicators. This chapter discusses energy dual pricing from several perspectives. After a brief introduction, in the second section, it addresses policy questions, that is, the issue of balancing the resources-endowed states' public policy and global concerns. In the third section, it analyses energy dual pricing in light of its consistency with WTO law, in particular the General Agreement on Tariffs and Trade 1994, the Agreement on Subsidies and Countervailing Measures, and the Agreement on Anti-Dumping. In addition, this chapter provides a brief insight into the relevant issues being discussed in the WTO Doha negotiations. The concluding section summarizes the findings made throughout the chapter and provides policy recommendations