An Investigation into Foreign Investment after Termination of Sanctions in Energy Sector by Membership in Energy Charter Treaty Focusing Iran Observer Membership

The recent nuclear agreement between Iran and world powers, which resulted in the termination of sanctions, has facilitated the creation of a premise for attracting foreign investment and technical expertise through the formation of economic stability. By becoming a permanent member of the Energy Charter Treaty as a comprehensive treaty of states’ relations producing and consuming energy, Iran can reach its desirable goals. Moreover, it can accomplish the need of financial and technical needs for foreign investment and the mutual need of the investor to guarantee its investment rights besides provision of its sovereignty benefits resulting in gas and oil resources. On the other hand, contracts related to Iran have been supported in this treaty, denoting an avoidance of imposing sanction against Iran and blocking entry of foreign investment to the country. The present study has made attempts to clarify how Iran can take advantage of membership in this international legal compact by making slight revision into laws without interrupting sovereignty of resources.