Former Presidents Olusegun Obasanjo and Muhammadu Buhari, alongside former Minister of Power, Works, and Housing, Babatunde Fashola, are currently in Paris, France, to testify in an ongoing arbitration case concerning the $6 billion Mambilla Hydroelectric Power Project. The case stems from allegations of contractual breaches by Nigeria in a deal awarded to Sunrise Power and Transmission Limited in 2003 during Obasanjo’s administration.
President Bola Tinubu, in a statement, emphasized that those representing Nigeria in the arbitration are motivated by patriotism and conviction. He clarified that their involvement is voluntary and not at his directive, dismissing social media rumors suggesting otherwise. Tinubu expressed gratitude for their commitment to defending Nigeria’s interests.
The origins of the dispute date back to May 2003, when Obasanjo’s government awarded the contract for the 3,960 MW power project to Sunrise Power on a Build, Operate, and Transfer (BOT) basis. However, controversy soon followed, with Obasanjo accusing his then-Minister of Power and Steel, Dr. Olu Agunloye, of awarding the contract without Federal Executive Council (FEC) approval. Agunloye, in turn, denied any wrongdoing and accused the government of using him as a scapegoat for abandoning the agreement.
Under Buhari’s administration, the agreement with Sunrise Power was formally canceled in April 2020, prompting the company’s promoter, Leno Adesanya, to seek arbitration. Accusations of bribery and economic sabotage were leveled against Adesanya, with the Economic and Financial Crimes Commission (EFCC) pursuing his prosecution. However, Adesanya denied the allegations and successfully obtained a court order barring the EFCC from prosecuting him or declaring him wanted.
The legal battles surrounding the project have persisted, with Agunloye facing separate charges of corruption related to the contract. Meanwhile, the arbitration in Paris continues, with the stakes high for Nigeria’s reputation and financial obligations.
In his statement, Tinubu underscored the confidential nature of the arbitration proceedings, urging restraint in public commentary until a decision is reached. He also reaffirmed his administration’s gratitude for the efforts of Obasanjo, Buhari, Fashola, and other eminent Nigerians defending the nation’s position.
The Mambilla Hydroelectric Power Project, envisioned as a transformative infrastructure venture, remains embroiled in legal disputes, underscoring the complexities of large-scale international contracts and governance. As the arbitration unfolds, the commitment of key figures in Nigeria’s defense demonstrates a shared resolve to safeguard the country’s interests on the global stage.
