Ecuadorian President Rafael Correa said on Saturday he has “no confidence” in the World Bank arbitration branch that is hearing US oil company Occidental’s lawsuit against Ecuador.
Ecuador “handed over its sovereignty” when it signed international accords binding it to the bank’s International Center for Settlement of Investment Disputes (ICSID), Correa said during his weekly radio address.
The ICSID is an autonomous court established to resolve investment disputes.
PHOTO: AP
Los Angeles-based Occidental Petroleum Corp is seeking US$1 billion in damages from Ecuador, alleging its property was confiscated illegally when the Andean nation canceled its operating contract in May 2006.
Occidental, whose production represented about 20 percent of Ecuador’s total output, also is seeking to recover the oil fields.
Ecuador accuses the company of illegally selling 40 percent of its concession to EnCana Corp of Canada without Energy Ministry authorization.
Correa withdrew Ecuador from the Washington-based court in December, but the country is still on the hook for cases pending at the time — including Occidental’s claim.
In a separate case before the court, Ecuador recently reached a settlement with Occidental to return US$100 million in taxes. The company had originally said it was due a US$171 million refund, and Ecuador’s energy minister called the agreement a victory.
On Saturday, Correa assured Ecuadorians that the country will win its pending dispute with Occidental at the court.
He also praised a recent decision by the tribunal to grant Ecuador an extra month to prepare its defense, until June 16.
But still, he said accords giving the court authority over foreign investment disputes are “just another one of the things that Latin America has to change.”
Correa and other critics accuse the court of being beholden to US interests. Bolivian President Evo Morales, a close ally, announced plans to withdraw from the center last year.
Correa suggested that Latin American governments ban all “extra-regional” arbitration to leave space for organizations like the Inter-American Development Bank (IADB) to operate.
He called the IADB — which has extended some US$3 billion in long-term credit to Ecuador for social programs — an “important collaborator.”
Correa took office last January promising to force foreign oil companies to share more of the oil they produce with the state and to cut ties with the World Bank and IMF.
Four months later he kicked the World Bank’s local representative out of the country.
Taiwan last night blanked world No. 1 Japan 4-0 to win the World Baseball Softball Confederation’s (WBSC) Premier12 for the first time. Taiwanese ace Lin Yu-min (林昱珉) held defending champions Japan to just one hit and no runs in the first four innings, before catcher Lin Chia-cheng (林家正) opened the fifth inning with a solo home run. That was soon followed by a three-run homer from Taiwanese captain Chen Chieh-hsien (陳傑憲) to put Taiwan ahead in the prestigious tournament of the world’s top 12 baseball teams. In addition to a superb performance from 21-year-old Arizona Diamondbacks prospect Lin, three more Taiwanese pitchers
Taiwan yesterday advanced to the gold medal match of the World Baseball Softball Confederation’s (WBSC) Premier12 for the first time in history, despite last night losing 9-6 to Japan. Taiwan advanced after the US defeated Venezuela in the first game on the last day of the Super Round. However, the US had no chance of advancing to the championship game unless it defeated Venezuela by at least nine points. The US won 6-5. As a result, the two teams — who both had one win and two losses in the Super Round — are to face off again in the
Taiwan Semiconductor Manufacturing Co (TSMC, 台積電), the world’s biggest contract chipmaker, yesterday held an equipment installation ceremony for its first 2-nanometer fab in Kaohsiung, six months ahead of schedule, Kaohsiung Mayor Chen Chi-mai (陳其邁) said. “To cope with the strong global demand for advanced chips, TSMC is to start moving in equipment for its first-ever 2-nanometer fab half a year earlier than scheduled,” Chen said at an question-and-answer session at the Kaohsiung City Council. TSMC’s 2-nanometer process technology would help accelerate the development of artificial intelligence (AI) applications as well as the transformation of local industries in Kaohsiung, Chen said in a
TEAM TAIWAN: While lawmakers proposed declaring Nov. 24 a national day, the CPBL commissioner urged the legislature to pass the budget for sports development Lawmakers yesterday proposed designating Nov. 24 as National Baseball Day and updating the design of the NT$500 bill to honor the national team’s victory in the World Baseball Softball Confederation’s Premier12 championship on Sunday, as thousands of fans came out to see the players parade down the streets of Taipei. Players, coaches and staff from the national team returned home on Monday night after achieving their best-ever performance in an international baseball tournament. After receiving a rapturous welcome at the airport, the players turned out yesterday for a street parade in front of thousands of adoring fans waving Taiwanese flags and
RSS