MEP Raphaël Glucksmann (S&D) has asked the European Commission whether the 18th package of EU sanctions covers arbitration awards under the Energy Charter Treaty (ECT) in favour of entities owned or controlled by sanctioned individuals, following two arbitrations brought in 2025 by entities linked to sanctioned Russian oligarch Aleksandra Melnichenko.
In a written parliamentary question dated 8 July 2026, Glucksmann noted that in 2025 two ECT arbitrations were filed against the EU: one by Melnichenko directly, and another by TerraBrown AG, of which she is the ultimate beneficiary. In December 2025, the General Court ruled that EU sanctions on Mr and Ms Melnichenko did not extend to TerraBrown. The 18th sanctions package prohibits recognition or enforcement of certain arbitration awards linked to sanctions, and its recitals appear to cover entities owned or controlled by sanctioned individuals. However, Glucksmann questioned whether the operative provisions currently target only sanctioned corporations and those who own or control them, leaving a potential loophole for entities like TerraBrown.
whether the operative provisions cover awards in favour of a non-sanctioned entity owned or controlled by a sanctioned individual; what the Commission's schedule is for reviewing infringement complaints under Article 258 TFEU if not; whether the Commission is aware of analogous arbitrations and why notices of arbitration are not disclosed; and whether the continuation of bilateral investment treaties with Belarus is compatible with EU policy.
The question signals Glucksmann's concern that sanctions enforcement may be undermined by ECT arbitration claims from entities indirectly linked to sanctioned individuals. The Commission is expected to reply within approximately six weeks, and its answer will indicate whether it considers the current sanctions framework sufficient or whether legislative clarification is needed.