Tinubu reacts as Nigeria wins arbitration case against Sunrise Power

On Thursday, an International Arbitration Tribunal at the International Chamber of Commerce (ICC) in Paris ruled in favor of Nigeria. The tribunal rejected the claims made by Sunrise Power and Transmission Company Ltd (Sunrise).

Sunrise Power had claimed $680 million from Nigeria as a settlement. They also claimed over $2.7 billion in compensation and interest from another arbitration.

This dispute is linked to the development of the 3,960 MW Mambila Hydroelectric Power Project in Taraba State.

In its ruling, the tribunal ordered Sunrise and its promoter to pay back Nigeria’s legal fees of $11.8 million. It also turned down Sunrise’s request for Nigeria to pay $400 million, which included a settlement sum of $200 million and a default sum of $200 million.

The tribunal affirmed that Leno Adesanya, the promoter of Sunrise, is bound by the arbitration agreement with Nigeria. They stated that the tribunal has the right to hear Nigeria’s counterclaim against him and his company.

President Bola Tinubu reacted to the ruling on Thursday evening. He said the decision shows Nigeria’s resolve to resist exploitative claims from local and international groups.

“On behalf of the Government and People of the Federal Republic of Nigeria, I strongly commend the tremendous efforts of the Attorney-General of the Federation and Minister of Justice, Prince Lateef Fagbemi and the entire team at the Federal Ministry of Justice for their efforts in this matter,” Tinubu said in a statement signed by his spokesperson, Bayo Onanuga.

He also praised the defence team led by Ms Elizabeth Oger-Gross and Mr Tolu Obamuroh from Paul Hastings LLP for their excellent representation of Nigeria.

“I commend the patriotism and support of former President Olusegun Obasanjo, GCFR, and late President Muhammadu Buhari, GCFR, who testified in the case. This case goes back to an illegal 2003 contract to build a 3,050-megawatt hydroelectric plant in Taraba State under a build-operate-transfer model. The Federal Executive Council never authorized the contract.”

Tinubu thanked other witnesses in the case, including former Ministers Babatunde Raji Fashola, SAN, and Suleiman Adamu, along with experts who helped defend Nigeria’s interests.

“I commend the National Security Adviser for his support and the Economic and Financial Crimes Commission for its investigation into the case.

“I want to assure you that while our country remains committed to partnering with genuine investors and honouring its legal obligations, it will continue to strongly defend all opportunistic claims against our commonwealth,” he added.

Thursday’s ICC ruling removes the biggest legal obstacle that has delayed the Mambilla hydropower project for years.