In October 2013, Isolux filed a claim against Spain alleging a violation of the fair and equal treatment provisions of the Energy treaty Charter by the Government of Spain. The claim arose as a result of measures, implemented in 2010, which introduced a number of changes to a previous incentive regime for renewable energy established in 2007, and included a 7 per cent tax on power generators’ revenues and a reduction in subsidies for renewable energy producers. In 2019, the tribunal found that because Isolux suffered no severe or radical loss, Spain did not expropriate its investment.

Key environmental legal questions:

Claims arising out of a series of energy reforms undertaken by the Government affecting the renewables sector, including a 7 per cent tax on power generators’ revenues and a reduction in subsidies for renewable energy producers.