By Ghazali Ibrahim
Nigeria has secured a major victory at the International Chamber of Commerce (ICC) in Paris after the arbitration tribunal ruled in its favour in the long-running dispute with Sunrise Power over the Mambilla Hydropower Project.
Sunrise Power had sought about $2.35 billion in damages from the Federal Government over an alleged breach of a 2003 agreement concerning the construction of the 3,050-megawatt Mambilla project in Taraba State.
The dispute dates back to an agreement that gave Sunrise Power rights to develop the project under a build-operate-transfer arrangement. The company later challenged the government’s decision to proceed with Sinohydro Corporation on the project.
The arbitration was taken before the ICC International Court of Arbitration in Paris. Proceedings involved testimony from former Presidents Olusegun Obasanjo and Muhammadu Buhari, as well as former ministers Babatunde Fashola and Suleiman Adamu.
The latest ruling means Nigeria has avoided the multibillion-dollar claim being pursued by Sunrise Power.
The dispute has also involved a separate arbitration over a 2020 settlement agreement under which the Federal Government had agreed to pay Sunrise Power $200 million.
