A stable and predictable legal environment is one of the basic factors considered in the investment process. It is of particular importance in the energy sector with its characteristically long-term investments which require substantial financial outlays. It has to be underlined that the nature of energy industry is rapidly changing both from the overall shape of the investment and regulatory models. One can observe that the model of the energy market that used to be based on state monopoly evolved into private or half private structure. However, of the particular importance is the fact that together with liberalisation and privatisation of the market the state becomes an active regulator of the market. It is especially noticeable in renewable energy sector in which governments by anticipating and incentivizing are creating conditions for new investments. Simultaneously, one cannot ignore that the state active regulatory policy may also bring a risk that support for certain investments will last as long as it is necessary to achieve its goals such as environmental protection, the need to strengthen awareness or equalise support costs. Therefore, abrupt change in the legal framework may affect the previously accepted financial setup of the investment. In extreme cases, the change may make the investment unprofitable and thereby cause damage to the investor. This raises the question as to what legal remedies are available to foreign investors in the event of an unexpected and unjustified revision of the legal environment by the host state, provided that said revision causes damage to the investor. The authors assume the following thesis: the investor's interests are protected under the principle of reasonable and legitimate expectations established in the framework of international law. The practical aspect of the hypothesis is also related to the question of the legal force of the arguments contained in the cases that were analysed and given as an example in the paper. As the paper analyses the principle of reasonable and legitimate expectations in the framework of international law through the prism of the investments in the energy sector, it is reasonable to verify the hypothesis regarding the effectiveness of the said principle as a legal basis for bringing claims by the investor. By analysing the doctrine itself and the related legislation and judgements, the authors shall attempt to determine when, and under what conditions, it is possible to apply the principle of reasonable and legitimate expectations in order to minimise the regulatory risk of an investment.

No abstract

No abstract

The production of lignocellulose biomass on dedicated plantations is an option that facilitates the implementation of sustainable development policy. The novelty of this type of research is that it involves the use of various types of methods—economic and legal analyses within a particular subject. This makes it possible to obtain a holistic view of the chosen case study. The purpose of this study was to determine whether setting up a Short Rotation Coppice (SRC) plantation of willow (Salix spp.) and poplar (Populusspp.) was economically profitable and if the legal regulations supported this type of production. The economic data are based on an experimental case study. The economic profitability of the plantations was assessed through an analysis of discounted cash flows, net present value (NPV), internal rate of return (IRR), and profitability index (PI). The legal analysis of the relevant EU and Polish legal solutions was based on a dogmatic approach. The study demonstrated that SRC cultivation was mostly hindered by economic factors, including the low selling price of biomass as an energy resource and the high costs of harvest. Meanwhile, in the analysed period, i.e., from 2015 to 2020, there were no additional legal or economic forms of support for this type of production that was addressed directly to lignocellulose biomass producers, with the exception of the standard support under the Common Agricultural Policy framework. The results of this study provide information for decisionmakers about the opportunities and challenges experiencedduring the development of SRC plantations.

No abstract