Ilp140206

Methods of resolving maritime boundary disputes

A summary of a meeting of the International Law Discussion Group at Chatham
House on 14th February, 2006; participants included representatives from
Embassies, Government departments, companies and universities.

This summary is issued on the understanding that if any extract is used, Chatham
House should be credited, preferably with the date of the meeting.

David Anderson CMG, former judge of the International Tribunal of the Law of the
Sea (ITLOS), introduced the discussion.

Introduction

The significance of maritime boundaries in current international relations has grown
with the expansion of national limits of maritime jurisdiction in the last 50 or 60 years.
An acre of sea may be worth more than an acre of barren land, especially if there is
oil or gas on the subsoil or on the seabed. Therefore boundary-making is now a
major task for coastal States and relatively few of them have a full set of maritime
boundaries.

Currently 180 boundaries have been agreed upon, which is far less than the 400
boundaries that potentially exist, according to geographers. (A map of the South-
West Pacific was shown) The reasons are that countries tend not to see boundary-
making as a priority, in the absence of any incidents or natural resources.
Furthermore, developing countries often do not have ready access to the required
technical advice from hydrographers. Some of them have nevertheless negotiated
boundaries e.g. because of encouragement by the oil industry.

Causes of maritime boundary disputes or differences

There are two possible causes for maritime boundary disputes or differences:

1. Disputed sovereignty over land
Two countries can claim the same island (eg: arbitration case Eritrea v. Yemen) or
the same area of mainland (eg: Bakassi peninsula in ICJ Cameroon v. Nigeria). To
resolve this issue, the relevant rules of international law include those on the
acquisition of sovereignty; they look to human activity (occupation and
administration) of the territory.

2. Overlapping entitlements to maritime rights and jurisdiction
There can be overlapping claims between adjacent or opposite States for 12 mile
territorial seas, 200 mile EEZs, and continental shelves, which may extend beyond
200 miles. Given the extension of rights to a 200 mile limit, overlaps are now more
common than they used to be. To resolve issues of overlapping claims, the relevant
rules of international law are those on the delimitation of maritime boundaries. These
rules can be found in the UN Convention on the Law of the Sea (UNCLOS), state
practice and jurisprudence.



                                                                                        1
Means and methods of resolving maritime boundary disputes

Article 33 of the UN Charter provides for the peaceful settlement of disputes by
means of the parties’ own choice. These means always include negotiation. If
negotiations are not successful, recourse may be had to conciliation, good offices (eg
of the UN Secretary General), arbitration (ad hoc or according to annex VII UNCLOS
or judicial settlement (ICJ/ITLOS)).

Methods of settling differences and disputes about overlapping entitlements include
resolving any sovereignty differences, the establishment of a complete boundary, a
partial boundary or a joint area, or combining some of those methods. Maritime
boundaries are to be established by agreement in accordance with international law.
Disputes and differences about sovereignty will be resolved by examining which
State has more activity on the disputed territory.

The value of establishing maritime boundaries

The potential political and security risks of boundary disputes are high. In this respect
the speaker quoted Lord Curzon's: "frontiers are the razor's edge on which hang
suspended…issues of war and peace…"

Unresolved boundaries may chill economic activity, such as exploration work or
fishing, because of fear of action by the other State. Besides that, they may also
inadvertently cause disputes, if a fisherman is arrested for fishing in a border area or
if an oil discovery is made in an area of overlapping claims, for instance.

Conversely, reaching agreement on a boundary brings positive benefits. Legal
certainty means that economic activity can start. The oil industry can be licensed to
work right up to the line. The enforcement of fisheries legislation is also possible right
up to the line. A maritime boundary removes the “blight” caused by jurisdictional
uncertainty. To quote Robert Frost: "Good fences make good neighbours".

The pre-negotiation phase: preparing for talks: some guidelines for negotiators

1. Prepare thoroughly
Study the geography of the boundary area, the material interests of both sides, the
maritime legislation of both sides applying to the area to be delimited, and the
diplomatic history (protest notes, notifications of claims, etc.). Ascertain the relevant
baselines of the two sides from the latest available large-scale charts. Find out
whether there are any disputed islands or features (e.g. low-tide elevations) the
political or technical status of which is uncertain.. If there are any, examine to whom
they belong, bearing in mind the working hypothesis that small features lying within
the normal limit of the territorial sea belong to the coastal state in the absence of any
known claim by another State (see the discussion in Qatar v. Bahrain). The status
may depend upon whether the feature is above water at low-tide, at high tide, or
never above water. Look at other boundaries in the area to be delimited, especially
agreements concluded by the two sides.

2. Determine the applicable law
Consider whether you have to apply customary international law or whether you can
rely on treaty law. Is there a land boundary treaty and, if so, does it make any
provision for the division of the territorial sea? Is UNCLOS (articles 15, 74, 83) in
force between the two parties or are the Geneva Conventions on the Territorial Sea
and on the Continental Shelf still in force? Given the fact that 149 States (148 States


                                                                                        2
and the EU) are now parties to UNCLOS, including over 80% of all coastal States, it
is likely that UNCLOS will be applicable.

3. Form a team
Appoint a leader who will do most of the talking, assisted by other members who
have defined roles. Obtain technical advice from hydrographers..

Means of resolving maritime boundary disputes or differences

1. Seek to resolve outstanding sovereignty issues first
There may be major differences over the land boundary (e.g. Cameroon/Nigeria over
the Bakassi Peninsula) or uncertainty over offshore islands (Hanish Islands). If this is
the case, it is best to resolve the question of sovereignty before or when concluding
the boundary agreement. If a dispute both over sovereignty issues and maritime
boundaries is submitted to a court, it is best to resolve the outstanding sovereignty
issue in a first stage of the proceedings, and the issue of the maritime boundaries in
a second stage, with some time between both stages, to allow lawyers to prepare
their arguments. By so doing one avoids the need for hypothetical arguments over
the course of the maritime boundary. This two-stage approach has been followed in
the Hanish Islands arbitration between Eritrea and Yemen. However, sometimes the
two issues are taken together in a single phase on the merits, as was the case in
Qatar v. Bahrain (sovereignty over Hawar Islands) and Cameroon v. Nigeria (title to
Bakassi peninsula) in the ICJ. This may have been because the parties wished to
proceed in that way.

Sovereignty differences or disputes play a role in only a small minority of cases. As
regards recommendations by the Commission on the Limits of the Continental Shelf
,article 76 (10) UNCLOS, states that the provisions on the Convention on the
Commission’s role are without prejudice to the question of delimitation of the
continental shelf between States with opposite or adjacent coasts. This means that
the Commission should not get involved in boundary issues and should confine itself
to undisputed areas.

2. Negotiations leading to agreement on a maritime boundary
The delimitation of a maritime boundary has to be "effected by agreement on the
basis of international law…" (article 74(1) UNCLOS). Normal legal principles of
negotiation apply, such as good faith, listening to the other side and being prepared
to move from an opening position. The negotiations should be conducted against the
background of international law, preferably to the exclusion of extraneous, short-term
political factors. Therefore it is best to choose a time when diplomatic relations are
not clouded by political problems.

Boundary law today is based on UNCLOS and especially its articles on the limits of
national jurisdiction, baselines, and delimitation of the territorial sea, EEZ and the
continental shelf (15, 74 and 83). Articles 74 and 83 have been criticized for lack of
substantive content and there is a grain of truth in this. They were a compromise
between groups in favour and against the principle of equidistance

Nevertheless, thanks to UNCLOS and a series of recent decisions of courts and
tribunals applying its articles 15, 74 and 83, the law on limits and baselines is now
more settled. Relevant cases in this respect are Jan Mayen, Eritrea v. Yemen,
Bahrain v. Qatar and Cameroon v. Nigeria. There is now a more consistent approach
as regards methodology in first drawing the equidistance line between all valid
basepoints on the two sides and then considering its equitableness. Geographical



                                                                                      3
factors have to be taken into account, to avoid disproportion between lengths of
coasts and marine areas generated by them (e.g. in the case of small features
steering the line for a long way). The negotiators can also take national interests into
consideration; including political, economic (oil) and social (fishing) factors.

3. Conciliation, Good Offices, etc.
If negotiations do not succeed at any stage, State practice shows an example of
successful recourse to conciliation in the case of Iceland and Norway in regard to Jan
Mayen.

4. Arbitration or judicial settlement
Finally, recourse to arbitration or judicial settlement is possible.

Arrangements for resolving maritime boundary disputes

1. Definitive arrangements
Deciding upon a definitive boundary in a treaty or agreement or a decision of an
international court or tribunal should resolve all aspects of a maritime boundary
dispute. International law, including the Vienna Conventions on the Law of Treaties
and on State Succession to Treaties, accords special protection to boundary treaties,
including maritime boundary treaties. Special care is required when approaching
areas that a third State may claim in order to avoid conflicts. It is best to stand back
whilst contact is made with the third State.
The boundary should be defined by coordinates of latitude and longitude on a
specified map projection and proper datum. The boundary should be illustrated (not
defined) on a suitable map or chart, preferably drawn specially.
With regard to the possibility that oil or gas fields will be found in the future that
straddle the boundary, it is general practice (all British agreements do so) to include
in a boundary treaty a provision to the effect that if a discovery of oil or gas is made
in the future in the vicinity of the agreed line the parties undertake to exchange
information to cooperate and draw up a new agreement for the joint exploitation or
apportionment of the find. The normal rule is to "unitise" the discovery so that each
government is entitled to whatever resources lie on its own side of the line.

Existing exploitation operations from a boundary zone may create problems for
negotiators. Where a state has issued a licence for oil or gas or gravel extraction
from a defined area and the State later agrees to a boundary treaty which means that
that area belongs to its neighbour, provision can be made for the notional transfer of
the licence to the neighbour. This solution was adopted by Belgium and the
Netherlands in 1996. The Netherlands had issued a long-term licence to a company
to extract gravel and as part of the overall agreement on the boundary question,
Belgium agreed to issue a similar Belgian licence to the same company on similar
terms.

2. Provisional arrangements: modus vivendi
The common terms of paragraph 3 of Articles 74 and 83 of the Convention provide
for the negotiation of provisional arrangements of a practical nature pending final
delimitation of the EEZ and continental shelf. Different types of provisional
arrangements feature in recent maritime boundary practice. They can be classified
as follows: (a) provisional boundaries, (b) special areas, and (c) joint development.

(a) Provisional boundaries
Once a boundary is determined, it is meant to be definitive. A unique exception to
this is the boundary agreement between Tunisia and Algeria, which establishes a


                                                                                      4
delimitation for only six years, possibly to take into account problems with
neighbouring countries, after which further talks are to be held.

(b) Special areas
There are several examples of arrangements for existing fisheries.

 (c) Joint development of offshore hydrocarbons
Joint development is the most important form of provisional arrangement. A study by
the British Institute of International and Comparative Law undertaken in 1989
indicated the existence of 12 bilateral treaties providing for Joint Areas or Joint
Development of resources of the continental shelf. Since 1990, the concept of a joint
area or joint zone or joint development has continued to attract interest on the part of
negotiators as part of a wider agreement or settlement of a boundary issue and today
there are at least 20 such agreements. This means that from amongst some 180
boundary agreements, 20 have joint development arrangements, which is not
insignificant.

There are different types of joint development agreement. Sometimes one State runs
the oil and gas operations in the area under its law and simply pays an agreed
proportion of the net revenues to its partner, as is the case in the Bahrain-Saudi
agreement. More usually, both States will be actively involved either directly or
through a management Commission with legal personality that holds licensing
rounds. This will especially be the case if the joint development arrangement is made
after the agreement on a boundary, but before an oil or gas discover is made. Some
joint development zones operate by means of joint ventures between companies
from the two parties.
The key features of most Joint Areas are as follows:
   - A treaty creating and defining the extent of the area. This is often but not
      always the area of the overlaps.
   - A “without prejudice” clause, making clear that the arrangement is interim or
      provisional pending a final delimitation of the boundaries.
   - Long duration (45 years in Nigeria/Sao Tome, with review after 30), because
      oil industry needs a long time span. The boundary can be agreed upon by
      negotiations during that time or at the end of the agreement.
   - A system for exploitation and an agreed division of the production revenue
      (not always 50/50).

A court charged with determining a maritime boundary cannot order the parties to
agree on a joint area, but it can encourage them. An example of this can be found in
the Hanish Islands arbitration, between Eritrea and Yemen, where the tribunal stated
that if discoveries where made close to the line it had laid down, the parties had a
duty under general international law to notify the other state and to consult each
another.

Concluding Remarks

Some of the controversies of the 1970s over the rules and principles applicable to
maritime delimitation are well on the way to resolution. Because the rules have
become clearer there is a better basis for negotiations.

Negotiated boundaries are best, but when agreement on a single line is not
achievable, it is worth considering creating a joint area.




                                                                                      5
If all efforts at negotiation fail, one should consider recourse to conciliation or
submitting the dispute to an impartial, expert body such as a standing international
court or an ad hoc arbitration for decision on the basis of international law.

Discussion

1. Impact of climate change and rise in sea level
Some participants asked questions about the impact of sea level rises on existing
maritime boundaries. The speaker agreed that base points may change because of
sea level rises attributable to global warming, but emphasised that these changes
should be seen as nothing more than a more dramatic version of natural changes in
features which provided base points. Changes in baselines already occurred from
time to time (e.g. in the Southern North Sea), because of natural reasons (e.g.
erosion.). Existing boundary treaties will remain in force and will not be affected by
subsequent changes in basepoints used in the negotiations.
2. The importance of baselines
One of the participants asked whether the issue of baselines had become less
important over time.

The speaker recalled that the normal baseline is the low water line, that certain bays
may be closed an that straight baselines, recognised in the case of UK v. Norway
and included in the 1958 Geneva Convention on the Territorial Sea and the 1982
UNCLOS, could be drawn around deeply indented coastlines or fringes of islands.
According to the speaker a lot of States - with the exception of the US - have drawn
straight baselines, sometimes in a very liberal way. The ICJ has adopted a rather
strict interpretation in boundary cases but without making any finding that a particular
straight baseline has been drawn in violation of UNCLOS. there are no cases dealing
with baselines specifically, later than UK v. Norway.

Protests against straight baselines have tended to decrease over time. With the
increase of national jurisdiction the issue has lost some of its importance in regard to
coasts facing the open ocean, but baselines remain important in boundary-making
and in measuring maritime limits.




                                                                                      6

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Ilp140206

  • 1. Methods of resolving maritime boundary disputes A summary of a meeting of the International Law Discussion Group at Chatham House on 14th February, 2006; participants included representatives from Embassies, Government departments, companies and universities. This summary is issued on the understanding that if any extract is used, Chatham House should be credited, preferably with the date of the meeting. David Anderson CMG, former judge of the International Tribunal of the Law of the Sea (ITLOS), introduced the discussion. Introduction The significance of maritime boundaries in current international relations has grown with the expansion of national limits of maritime jurisdiction in the last 50 or 60 years. An acre of sea may be worth more than an acre of barren land, especially if there is oil or gas on the subsoil or on the seabed. Therefore boundary-making is now a major task for coastal States and relatively few of them have a full set of maritime boundaries. Currently 180 boundaries have been agreed upon, which is far less than the 400 boundaries that potentially exist, according to geographers. (A map of the South- West Pacific was shown) The reasons are that countries tend not to see boundary- making as a priority, in the absence of any incidents or natural resources. Furthermore, developing countries often do not have ready access to the required technical advice from hydrographers. Some of them have nevertheless negotiated boundaries e.g. because of encouragement by the oil industry. Causes of maritime boundary disputes or differences There are two possible causes for maritime boundary disputes or differences: 1. Disputed sovereignty over land Two countries can claim the same island (eg: arbitration case Eritrea v. Yemen) or the same area of mainland (eg: Bakassi peninsula in ICJ Cameroon v. Nigeria). To resolve this issue, the relevant rules of international law include those on the acquisition of sovereignty; they look to human activity (occupation and administration) of the territory. 2. Overlapping entitlements to maritime rights and jurisdiction There can be overlapping claims between adjacent or opposite States for 12 mile territorial seas, 200 mile EEZs, and continental shelves, which may extend beyond 200 miles. Given the extension of rights to a 200 mile limit, overlaps are now more common than they used to be. To resolve issues of overlapping claims, the relevant rules of international law are those on the delimitation of maritime boundaries. These rules can be found in the UN Convention on the Law of the Sea (UNCLOS), state practice and jurisprudence. 1
  • 2. Means and methods of resolving maritime boundary disputes Article 33 of the UN Charter provides for the peaceful settlement of disputes by means of the parties’ own choice. These means always include negotiation. If negotiations are not successful, recourse may be had to conciliation, good offices (eg of the UN Secretary General), arbitration (ad hoc or according to annex VII UNCLOS or judicial settlement (ICJ/ITLOS)). Methods of settling differences and disputes about overlapping entitlements include resolving any sovereignty differences, the establishment of a complete boundary, a partial boundary or a joint area, or combining some of those methods. Maritime boundaries are to be established by agreement in accordance with international law. Disputes and differences about sovereignty will be resolved by examining which State has more activity on the disputed territory. The value of establishing maritime boundaries The potential political and security risks of boundary disputes are high. In this respect the speaker quoted Lord Curzon's: "frontiers are the razor's edge on which hang suspended…issues of war and peace…" Unresolved boundaries may chill economic activity, such as exploration work or fishing, because of fear of action by the other State. Besides that, they may also inadvertently cause disputes, if a fisherman is arrested for fishing in a border area or if an oil discovery is made in an area of overlapping claims, for instance. Conversely, reaching agreement on a boundary brings positive benefits. Legal certainty means that economic activity can start. The oil industry can be licensed to work right up to the line. The enforcement of fisheries legislation is also possible right up to the line. A maritime boundary removes the “blight” caused by jurisdictional uncertainty. To quote Robert Frost: "Good fences make good neighbours". The pre-negotiation phase: preparing for talks: some guidelines for negotiators 1. Prepare thoroughly Study the geography of the boundary area, the material interests of both sides, the maritime legislation of both sides applying to the area to be delimited, and the diplomatic history (protest notes, notifications of claims, etc.). Ascertain the relevant baselines of the two sides from the latest available large-scale charts. Find out whether there are any disputed islands or features (e.g. low-tide elevations) the political or technical status of which is uncertain.. If there are any, examine to whom they belong, bearing in mind the working hypothesis that small features lying within the normal limit of the territorial sea belong to the coastal state in the absence of any known claim by another State (see the discussion in Qatar v. Bahrain). The status may depend upon whether the feature is above water at low-tide, at high tide, or never above water. Look at other boundaries in the area to be delimited, especially agreements concluded by the two sides. 2. Determine the applicable law Consider whether you have to apply customary international law or whether you can rely on treaty law. Is there a land boundary treaty and, if so, does it make any provision for the division of the territorial sea? Is UNCLOS (articles 15, 74, 83) in force between the two parties or are the Geneva Conventions on the Territorial Sea and on the Continental Shelf still in force? Given the fact that 149 States (148 States 2
  • 3. and the EU) are now parties to UNCLOS, including over 80% of all coastal States, it is likely that UNCLOS will be applicable. 3. Form a team Appoint a leader who will do most of the talking, assisted by other members who have defined roles. Obtain technical advice from hydrographers.. Means of resolving maritime boundary disputes or differences 1. Seek to resolve outstanding sovereignty issues first There may be major differences over the land boundary (e.g. Cameroon/Nigeria over the Bakassi Peninsula) or uncertainty over offshore islands (Hanish Islands). If this is the case, it is best to resolve the question of sovereignty before or when concluding the boundary agreement. If a dispute both over sovereignty issues and maritime boundaries is submitted to a court, it is best to resolve the outstanding sovereignty issue in a first stage of the proceedings, and the issue of the maritime boundaries in a second stage, with some time between both stages, to allow lawyers to prepare their arguments. By so doing one avoids the need for hypothetical arguments over the course of the maritime boundary. This two-stage approach has been followed in the Hanish Islands arbitration between Eritrea and Yemen. However, sometimes the two issues are taken together in a single phase on the merits, as was the case in Qatar v. Bahrain (sovereignty over Hawar Islands) and Cameroon v. Nigeria (title to Bakassi peninsula) in the ICJ. This may have been because the parties wished to proceed in that way. Sovereignty differences or disputes play a role in only a small minority of cases. As regards recommendations by the Commission on the Limits of the Continental Shelf ,article 76 (10) UNCLOS, states that the provisions on the Convention on the Commission’s role are without prejudice to the question of delimitation of the continental shelf between States with opposite or adjacent coasts. This means that the Commission should not get involved in boundary issues and should confine itself to undisputed areas. 2. Negotiations leading to agreement on a maritime boundary The delimitation of a maritime boundary has to be "effected by agreement on the basis of international law…" (article 74(1) UNCLOS). Normal legal principles of negotiation apply, such as good faith, listening to the other side and being prepared to move from an opening position. The negotiations should be conducted against the background of international law, preferably to the exclusion of extraneous, short-term political factors. Therefore it is best to choose a time when diplomatic relations are not clouded by political problems. Boundary law today is based on UNCLOS and especially its articles on the limits of national jurisdiction, baselines, and delimitation of the territorial sea, EEZ and the continental shelf (15, 74 and 83). Articles 74 and 83 have been criticized for lack of substantive content and there is a grain of truth in this. They were a compromise between groups in favour and against the principle of equidistance Nevertheless, thanks to UNCLOS and a series of recent decisions of courts and tribunals applying its articles 15, 74 and 83, the law on limits and baselines is now more settled. Relevant cases in this respect are Jan Mayen, Eritrea v. Yemen, Bahrain v. Qatar and Cameroon v. Nigeria. There is now a more consistent approach as regards methodology in first drawing the equidistance line between all valid basepoints on the two sides and then considering its equitableness. Geographical 3
  • 4. factors have to be taken into account, to avoid disproportion between lengths of coasts and marine areas generated by them (e.g. in the case of small features steering the line for a long way). The negotiators can also take national interests into consideration; including political, economic (oil) and social (fishing) factors. 3. Conciliation, Good Offices, etc. If negotiations do not succeed at any stage, State practice shows an example of successful recourse to conciliation in the case of Iceland and Norway in regard to Jan Mayen. 4. Arbitration or judicial settlement Finally, recourse to arbitration or judicial settlement is possible. Arrangements for resolving maritime boundary disputes 1. Definitive arrangements Deciding upon a definitive boundary in a treaty or agreement or a decision of an international court or tribunal should resolve all aspects of a maritime boundary dispute. International law, including the Vienna Conventions on the Law of Treaties and on State Succession to Treaties, accords special protection to boundary treaties, including maritime boundary treaties. Special care is required when approaching areas that a third State may claim in order to avoid conflicts. It is best to stand back whilst contact is made with the third State. The boundary should be defined by coordinates of latitude and longitude on a specified map projection and proper datum. The boundary should be illustrated (not defined) on a suitable map or chart, preferably drawn specially. With regard to the possibility that oil or gas fields will be found in the future that straddle the boundary, it is general practice (all British agreements do so) to include in a boundary treaty a provision to the effect that if a discovery of oil or gas is made in the future in the vicinity of the agreed line the parties undertake to exchange information to cooperate and draw up a new agreement for the joint exploitation or apportionment of the find. The normal rule is to "unitise" the discovery so that each government is entitled to whatever resources lie on its own side of the line. Existing exploitation operations from a boundary zone may create problems for negotiators. Where a state has issued a licence for oil or gas or gravel extraction from a defined area and the State later agrees to a boundary treaty which means that that area belongs to its neighbour, provision can be made for the notional transfer of the licence to the neighbour. This solution was adopted by Belgium and the Netherlands in 1996. The Netherlands had issued a long-term licence to a company to extract gravel and as part of the overall agreement on the boundary question, Belgium agreed to issue a similar Belgian licence to the same company on similar terms. 2. Provisional arrangements: modus vivendi The common terms of paragraph 3 of Articles 74 and 83 of the Convention provide for the negotiation of provisional arrangements of a practical nature pending final delimitation of the EEZ and continental shelf. Different types of provisional arrangements feature in recent maritime boundary practice. They can be classified as follows: (a) provisional boundaries, (b) special areas, and (c) joint development. (a) Provisional boundaries Once a boundary is determined, it is meant to be definitive. A unique exception to this is the boundary agreement between Tunisia and Algeria, which establishes a 4
  • 5. delimitation for only six years, possibly to take into account problems with neighbouring countries, after which further talks are to be held. (b) Special areas There are several examples of arrangements for existing fisheries. (c) Joint development of offshore hydrocarbons Joint development is the most important form of provisional arrangement. A study by the British Institute of International and Comparative Law undertaken in 1989 indicated the existence of 12 bilateral treaties providing for Joint Areas or Joint Development of resources of the continental shelf. Since 1990, the concept of a joint area or joint zone or joint development has continued to attract interest on the part of negotiators as part of a wider agreement or settlement of a boundary issue and today there are at least 20 such agreements. This means that from amongst some 180 boundary agreements, 20 have joint development arrangements, which is not insignificant. There are different types of joint development agreement. Sometimes one State runs the oil and gas operations in the area under its law and simply pays an agreed proportion of the net revenues to its partner, as is the case in the Bahrain-Saudi agreement. More usually, both States will be actively involved either directly or through a management Commission with legal personality that holds licensing rounds. This will especially be the case if the joint development arrangement is made after the agreement on a boundary, but before an oil or gas discover is made. Some joint development zones operate by means of joint ventures between companies from the two parties. The key features of most Joint Areas are as follows: - A treaty creating and defining the extent of the area. This is often but not always the area of the overlaps. - A “without prejudice” clause, making clear that the arrangement is interim or provisional pending a final delimitation of the boundaries. - Long duration (45 years in Nigeria/Sao Tome, with review after 30), because oil industry needs a long time span. The boundary can be agreed upon by negotiations during that time or at the end of the agreement. - A system for exploitation and an agreed division of the production revenue (not always 50/50). A court charged with determining a maritime boundary cannot order the parties to agree on a joint area, but it can encourage them. An example of this can be found in the Hanish Islands arbitration, between Eritrea and Yemen, where the tribunal stated that if discoveries where made close to the line it had laid down, the parties had a duty under general international law to notify the other state and to consult each another. Concluding Remarks Some of the controversies of the 1970s over the rules and principles applicable to maritime delimitation are well on the way to resolution. Because the rules have become clearer there is a better basis for negotiations. Negotiated boundaries are best, but when agreement on a single line is not achievable, it is worth considering creating a joint area. 5
  • 6. If all efforts at negotiation fail, one should consider recourse to conciliation or submitting the dispute to an impartial, expert body such as a standing international court or an ad hoc arbitration for decision on the basis of international law. Discussion 1. Impact of climate change and rise in sea level Some participants asked questions about the impact of sea level rises on existing maritime boundaries. The speaker agreed that base points may change because of sea level rises attributable to global warming, but emphasised that these changes should be seen as nothing more than a more dramatic version of natural changes in features which provided base points. Changes in baselines already occurred from time to time (e.g. in the Southern North Sea), because of natural reasons (e.g. erosion.). Existing boundary treaties will remain in force and will not be affected by subsequent changes in basepoints used in the negotiations. 2. The importance of baselines One of the participants asked whether the issue of baselines had become less important over time. The speaker recalled that the normal baseline is the low water line, that certain bays may be closed an that straight baselines, recognised in the case of UK v. Norway and included in the 1958 Geneva Convention on the Territorial Sea and the 1982 UNCLOS, could be drawn around deeply indented coastlines or fringes of islands. According to the speaker a lot of States - with the exception of the US - have drawn straight baselines, sometimes in a very liberal way. The ICJ has adopted a rather strict interpretation in boundary cases but without making any finding that a particular straight baseline has been drawn in violation of UNCLOS. there are no cases dealing with baselines specifically, later than UK v. Norway. Protests against straight baselines have tended to decrease over time. With the increase of national jurisdiction the issue has lost some of its importance in regard to coasts facing the open ocean, but baselines remain important in boundary-making and in measuring maritime limits. 6