Aligning investment governance for a just energy transition and sustainable development in West Africa

West Africa faces a critical energy deficit affecting around 200 million people, necessitating a shift towards a sustainable low-carbon energy system. The region’s energy framework is heavily influenced by legacy bilateral investment treaties (BITs), which favour fossil fuel investments and utilise investor-state dispute settlement mechanisms. This creates conflicts with climate goals and social equity, highlighting the need for a comprehensive overhaul of investment strategies to support decarbonization while reducing legal risks for states. This study employs doctrinal legal analysis and comparative policy assessment to explore the tension between international investment law and the need for a just energy transition in West Africa. It examines key legal instruments, including the ECOWAS Energy Protocol, ECOWAS Common Investment Code (ECOWIC) and the African Continental Free Trade Area (AfCFTA) Investment Protocol, revealing a significant disconnect between traditional BITs and modern climate objectives. The study advocates for a shift towards a regional investment framework under the AfCFTA that aligns investor protections with development rights and social equity. Findings indicate that the existing BIT regime poses substantial legal and financial obstacles to regional energy development. By pinpointing these regulatory gaps, the study argues for a harmonised investment framework that reconciles investor protections with climate mandates. It suggests adopting climate-sensitive policy tools, such as climate carve-outs and local content requirements, alongside revitalising financially distressed utilities. This strategic approach aims to enhance economic viability and promote social equity, providing a robust framework for aligning international investment obligations with the urgent needs of a just energy transition.