WT/DS476/7  
 
28 September 2018  
(18-5998) Page: 1/2 
  Original: English  
 
EUROPEAN UNION AND I TS MEMBER STATES – CERTAIN MEASURES RELA TING  
TO THE ENERGY SECTOR  
NOTICE OF AN OTHER A PPEAL BY THE RUSSIAN  FEDERATION  UNDER  
ARTICLE 16.4 AND ART ICLE 17 OF THE UNDER STANDING ON RULES   
AND PROCEDURES GOVER NING THE SETTLEMENT OF DISPUTES (DSU), AND  
UNDER RULE 23 OF THE  WORKING PROCEDURES FOR APPELLATE REVIEW  
The following communication, dated 26 September 2018, from the Delegation of the Russian 
Federation, is being circulated to Members.  
 
_______________  
 
 
Notice of Other Appeal  
Pursuant to Article 16.4 and 17 of the DSU, the Russian Federation hereby notifies to the Dispute 
Settlement Body its decision to appeal to the Appellate Body certain issues of law covered and certain 
legal interpretations developed by the Panel in Europe an Union – Certain Measures Relating to the 
Energy Sector  (WT/DS476) ("Panel Report"). Pursuant to Rule 23 of the Working Procedures for 
Appellate Review, the Russian Federation simultaneously files this Notice of Other Appeal with the 
Appellate Body Secre tariat.  
 
For the reasons further elaborated in its submissions to the Appellate Body, the Russian Federation 
appeals, and requests the Appellate Body to reverse, modify or declare moot and of no legal effect 
the findings and conclusions of the Panel as sum marized in paragraphs 8.1 (a) (i), (b), (c), and (e) 
of the Panel Report, with respect to the following errors of law and legal interpretations, and to 
complete the analysis1: 
 
• Unbundling Measure: Article 11 of the DSU  
the Panel erred in finding that the R ussian Federation had not "substantiated its notion of the 
unbundling measure in the Directive and the unbundling measure in the national implementing 
laws of Lithuania being 'a single measure ', or its alternative notion of the unbundling measure 
in the Di rective and the unbundling measures in the natio nal implementing laws of all 
EU member States being 'a single measure '". Thereby the Panel failed to make an objective 
assessment of the matter before it, including an objective assessment of the facts of the  case 
and the applicability of and conformity with the relevant covered agreements in violation of 
Article 11 of the DSU. The Russian Federation requests the Appellate Body to reverse the 
Panel 's findings in paragraph 7.383, and to complete the analysis of  the Russian Federation 's 
claims under the GATS and the GATT 1994 pertaining to the Unbundling Measure based on 
the conclusion that the combined application of the Directive and the implementing laws of 
individual EU member States constitutes 'a single mea sure', for the purpose of determining 
whether treatment no less favourable was accorded by the European Union, to Russian 
services, service suppliers, and goods.  
 
 
 
                                                
1 Pursuant to Rule 23(2)(c)(ii) of the Working Procedures, this Notice of Other Appeal includes an 
indicative list of the paragraphs of the Panel Report containing the alleged errors, without prejudice to Russia's 
ability to refer to other paragraphs of the  Panel Report in the context of this appeal.  WT/DS476/7  
 
- 2 - 
 
  • Unbundling Measure: Article II:1 of the GATS  
the Panel erred in finding that Russia had fai led to demonstrate "that the unbundling measure 
in the Directive accords less favourable treatment to Russian pipeline transport services and 
service suppliers in comparison with that accorded to pipeline transport services and service 
suppliers of any oth er non -EU country. The Russian Federation requests the Appellate Body 
to reverse the Panel 's findings in paragraphs 7.497, 7.508, and 7.514, as they are based on 
the Panel 's erroneous finding in paragraph 7.383, and the Panel 's ultimate conclusion in 
parag raph 8.1(a)(i). The Russian Federation requests the Appellate Body to complete the 
analysis, based on an appropriate determination of the effect of the single measure, consisting 
of the combined application of the Directive and the implementing laws of the  EU member 
states and to find that the Unbundling Measure is inconsistent with Article II:1 of the GATS.  
 
• Public Body Measure: Article XVII:1 of the GATS  
the Panel erred in finding that the Russian Federation had failed to demonstrate that the public 
body measure in the national implementing laws of Croatia, Hungary and Lithuania modifies 
the conditions of competition to the detriment of service suppliers of other Members in 
comparison to like domestic service suppliers. The Russian Federation requests th e 
Appellate  Body to reverse the Panel 's findings in paragraphs 7.741, 7.823, and 7.787, and the 
erroneous analysis on which it is based, as well as the Panel 's conclusion in paragraph 8.1(b), 
and to find that by exempting EU Government -Owned Suppliers from t he unbundling 
requirements, the public body measure modifies the conditions of competition to the detriment 
of Russian service suppliers, in violation of Article XVII:1 of the GATS.  
 
• LNG Measure: Article I:1 of the GATT 1994  
the Panel erred in finding that  the Russian Federation had failed to demonstrate that natural 
gas from Russia and LNG imported from other countries are like products within the meaning 
of Article I:1 of the GATT 1994. The Russian Federation requests the Appellate Body to reverse 
the Pan el's findings in paragraph 7.855 and the erroneous analysis on which it is based in 
paragraphs 7.834 -7.854, as well as the Panel 's conclusion in paragraph 8.1(c). The Russian 
Federation requests the Appellate Body to complete the analysis, based on an appropriate 
determination of the nature and extent of the competitive relationship between natural gas 
imported from Russia and LNG, and to find that the LNG measu re is inconsistent with 
Article  I:1 of the GATT 1994.  
 
• UPN Measure: Articles I:1 and III:4 o f the GATT 1994  
the Panel erred in finding that the Russian Federation had failed to demonstrate that the 
upstream pipeline networks measure grants an advantage to natural gas of any particular 
origin, and that the Russian Federation had failed to demonstr ate that the upstream pipeline 
networks measure is inconsistent with Article III:4 of the GATT 1994. The Russian Federation 
requests the Appellate Body to reverse the Panel 's findings in paragraphs 7.1044 and 7.1047, 
and the erroneous analysis on which it is based in para graphs 7.1007 -7.1043 and 
7.1045 -7.1046, as well as the Panel 's conclusion in paragraph 8.1(e), and to find that the 
upstream pipeline networks measure is inconsistent with Art icles I:1 and III:4 of the 
GATT  1994.  
 
__________