Resolving Construction Conflicts in Energy Infrastructure: A Deep Dive into Arbitration and Project Dynamics

Abstract

Construction disputes in energy infrastructure projects have become increasingly complex due to the scale of investment, evolving regulatory landscapes, and shifting geopolitical dynamics. This article critically examines how arbitration and complementary dispute resolution mechanisms (DRMs) are deployed to manage risks and resolve conflicts in energy infrastructure development. Drawing on comparative legal analysis, industry case studies, and interdisciplinary scholarship, it explores how contractual fragility, ESG compliance demands, and public-private tensions are shaping the dispute landscape. Special attention is given to emerging legal reforms in investor-state dispute settlement, the growing use of hybrid arbitration models, and the influence of digitalisation on dispute procedures.
Through a synthesis of global perspectives from the Eastern Mediterranean and Sub-Saharan Africa to Northern Europe, the article uncovers how diverse jurisdictions are adapting arbitration to align with sustainability goals, economic resilience, and equitable governance. It also addresses critical critiques of arbitration, including issues of procedural opacity, power asymmetries, and legitimacy in high-stakes infrastructure disputes. Ultimately, the paper argues for more inclusive, context-sensitive dispute resolution frameworks capable of supporting both commercial certainty and public accountability in energy transitions.