PULP MILLS (JUDGMENT)
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presented to it, and then it will apply the relevant rules of international
law to those facts which it has found to have existed.
B. Alleged Violations of Substantive Obligations
169. The Court now turns to the examination of the alleged violations
by Uruguay of its substantive obligations under the 1975 Statute by
authorizing the construction and operation of the Orion (Botnia) mill. In
particular, Argentina contends that Uruguay has breached its obligations
under Articles 1, 27, 35, 36 and 41 (a) of the 1975 Statute and “other
obligations deriving from . . . general, conventional and customary international law which are necessary for the application of the 1975 Statute”.
Uruguay rejects these allegations. Uruguay considers furthermore that
Article 27 of the 1975 Statute allows the parties to use the waters of the
river for domestic, sanitary, industrial and agricultural purposes.
1. The obligation to contribute to the optimum and rational utilization
of the river (Article 1)
170. According to Argentina, Uruguay has breached its obligation to
contribute to the “optimum and rational utilization of the river” by failing to co-ordinate with Argentina on measures necessary to avoid ecological change, and by failing to take the measures necessary to prevent
pollution. Argentina also maintains that, in interpreting the 1975 Statute
(in particular Articles 27, 35, and 36 thereof) according to the principle of
equitable and reasonable use, account must be taken of all pre-existing
legitimate uses of the river, including in particular its use for recreational
and tourist purposes.
171. For Uruguay, the object and purpose of the 1975 Statute is to
establish a structure for co-operation between the Parties through CARU
in pursuit of the shared goal of equitable and sustainable use of the water
and biological resources of the river. Uruguay contends that it has in no
way breached the principle of equitable and reasonable use of the river
and that this principle provides no basis for favouring pre-existing uses of
the river, such as tourism or fishing, over other, new uses.
172. The Parties also disagree on the scope and implications of Article 27 of the 1975 Statute on the right of each Party to use the waters of
the river, within its jurisdiction, for domestic, sanitary, industrial and
agricultural purposes.
173. The Court observes that Article 1, as stated in the title to Chapter I of the 1975 Statute, sets out the purpose of the Statute. As such, it
informs the interpretation of the substantive obligations, but does not by
itself lay down specific rights and obligations for the parties. Optimum
and rational utilization is to be achieved through compliance with the
obligations prescribed by the 1975 Statute for the protection of the envi63