The Federal Government has secured a major victory in its nearly nine-year international arbitration dispute with Sunrise Power and Transmission Company Limited over the long-delayed Mambilla Hydroelectric Power Project in Taraba State.
The International Arbitration Tribunal operating under the International Chamber of Commerce in Paris ruled in favour of Nigeria, rejecting claims by Sunrise that could have exposed the country to more than $3.38bn in compensation, interest and related payments.
President Bola Tinubu confirmed the development in a statement issued by the State House on Thursday, describing the tribunal’s decision as an important victory for Nigeria.
The dispute dates back to October 10, 2017, when Sunrise initiated arbitration proceedings against the Federal Government before the ICC International Court of Arbitration.
The company had alleged that Nigeria breached a 2003 agreement relating to the development of the Mambilla power project.
According to the Presidency, Sunrise sought $680m, including interest, in the latest arbitration. The claim was connected to another related case in which the company is demanding more than $2.7bn in compensation and interest over disputes arising from the development of the project.
The two claims, taken together, placed Nigeria’s potential financial exposure at more than $3.38bn.
The tribunal’s final award was issued on September 17, 2026, bringing the protracted arbitration proceedings to a close nearly nine years after Sunrise first commenced the case.
The Mambilla project itself has undergone several changes in scope since it was conceived.
Originally planned as a 3,050-megawatt hydroelectric power plant, the proposed capacity was later reduced by about half to 1,525MW before being further rescaled to approximately 1,500MW.
The Federal Government has said the restructuring was intended to make the project financially viable and more attractive to lenders.
The Mambilla project remains one of Nigeria’s long-discussed major power infrastructure schemes, with successive administrations seeking to resolve the legal, financing and contractual issues surrounding its development.
