This policy setting specifies whether to use 8-bit Unicode Transformation Format (UTF-8) a standard that defines characters so they are readable in any language. By using UTF-8 you can exchange Internet addresses (URLs) that contain characters from any language.If you enable this policy setting Internet Explorer does not allow sending the path portion of URLs as UTF-8. The user cannot change this policy setting.If you disable this policy setting Internet Explorer allows sending the path portion of URLs as UTF-8. The user cannot change this policy setting.If you do not configure this policy setting the user can allow or prevent the sending of the path portion of URLs as UTF-8.
Windows Components\Internet Explorer\Internet Settings\URL Encoding
At least Internet Explorer 7.0