ICC Tribunal Rejects Sunrise Power’s Claims Against Nigeria Over Mambilla Hydropower Project

An International Chamber of Commerce arbitration tribunal sitting in Paris issued an award on 17 September dismissing claims brought by Sunrise Power and Transmission Company against the Federal Republic of Nigeria over the long-delayed Mambilla hydropower project, according to Nigeria’s Attorney-General Lateef Fagbemi and legal reporting on the case.

A Long-Running Dispute Over a Major Planned Hydro Scheme

Sunrise Power had sought $680 million in a settlement claim connected to a separate arbitration in which it is seeking more than $2.7 billion in compensation, according to Lawyard, a Nigerian legal publication. The tribunal rejected those claims and ordered Sunrise Power and its promoter to reimburse 75 per cent of Nigeria’s legal costs, Engineering News reported. The ruling does not resolve the larger, multibillion-dollar arbitration outright but removes a significant legal obstacle that had complicated Nigeria’s efforts to restart the 3,050-megawatt project, which has been delayed for nearly two decades amid disputes over contractor selection.

The Mambilla project, located on the Mambilla Plateau in Taraba State, has been described by Nigerian officials as the country’s largest planned hydroelectric scheme, intended to significantly expand national power generation capacity once built.

Implications for Contract Enforcement

Nigerian officials characterised the ruling as validating the government’s legal position in a dispute that has stretched across multiple presidential administrations. The case has been closely watched by infrastructure investors as a test of how international arbitration bodies handle long-delayed African state contracts involving competing claims from rival developers. Nigeria’s government has said it intends to press ahead with efforts to secure new financing and contractor arrangements for the project now that the Paris ruling has removed one source of legal uncertainty.

Why It Matters

Unresolved contractual disputes have stalled major infrastructure projects across Africa for years, deterring the financing needed to close the continent’s power deficit. A clear arbitration outcome, even a partial one, can help governments demonstrate to lenders and new contractors that legal pathways exist to resolve disputes and move stalled projects forward.