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Biofuels certification and the law of the World Trade Organization

This paper analyzes biofuels certification within the optic of the World Trade Organization (WTO) and proposes requirements for compliance with the international trading system. The paper explains how the compatibility of a biofuels-certification measure with international trade rules is determined from several perspectives, to determine whether the nondiscrimination rules of Article I or Article III of GATT apply and, if there is prohibited discrimination, whether it is excused by the health or environmental carve-outs of GATT Article XX (among other possible exceptions). The decisions also determine whether the detailed substantive and procedural rules of other WTO agreements apply. The paper further analyzes how implementation of certification schemes must also be aligned with WTO rules.

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