Reported by Ariajegbe Sylvia Esezobor
President Bola Tinubu has commended the Economic and Financial Crimes Commission for its investigation into the alleged irregular award of a six-billion-dollar contract for the Mambilla Hydroelectric Power Station, saying the anti-graft agency's findings were pivotal to Nigeria's victory over Sunrise Power and Transmission Company Limited at an International Chamber of Commerce arbitration tribunal in Paris.
The tribunal, in a ruling delivered on September 17, 2026, rejected Sunrise Power's demand for 680 million dollars as a settlement sum and interest in one of the arbitration proceedings. The company is also seeking more than 2.7 billion dollars in compensation and interest in a separate arbitration relating to disputes over the development of the 3,960-megawatt Mambilla project in Taraba State. Tinubu described the decision as clearing "the single biggest legal hurdle that has paralysed the Mambilla hydro power project for years," adding that the ruling affirmed Nigeria's determination to defend its interests against what he called "predatory and exploitative claims" by local and international entities.
The dispute dates back to a contract awarded on May 22, 2003, by then Minister of Power Olu Agunloye to Sunrise Power on a build-operate-and-transfer basis for the construction of a 3,050-megawatt hydroelectric plant in Taraba State. According to the EFCC's investigation, the contract was awarded without approval from the National Executive Council, which was chaired at the time by former President Olusegun Obasanjo. The commission also alleged that the award involved favouritism because Sunrise Power owner Leno Adesanya and Agunloye were longstanding associates. The EFCC further alleged that, in August 2019, Sunrise Power transferred 3.6 million naira to an account belonging to the former minister. Agunloye is currently being prosecuted before the Federal Capital Territory High Court on an amended seven-count charge bordering on alleged official corruption and the fraudulent award of the Mambilla contract. He has pleaded not guilty, and the EFCC has presented multiple prosecution witnesses in the ongoing trial.
Tinubu commended the Attorney-General of the Federation and Minister of Justice, Lateef Fagbemi, and the team at the Federal Ministry of Justice for their role in the arbitration. He also praised Nigeria's defence team, led by Elizabeth Oger-Gross and Tolu Obamuroh of Paul Hastings LLP, for their professional defence of the country. The President further acknowledged the contributions of former President Olusegun Obasanjo and the late President Muhammadu Buhari, who testified in the case, as well as former power ministers Babatunde Fashola and Suleiman Adamu and other witnesses and experts who participated in the proceedings. He also thanked the National Security Adviser for his support.
The Mambilla Hydroelectric Power Project has been under discussion for more than four decades. First conceived in the 1970s, the complex of dams on the Donga River near Nigeria's border with Cameroon was designed to produce 3,050 megawatts, equivalent to a quarter of Nigeria's installed capacity at the time of its conception. The project was originally planned as a 3,050-megawatt facility, but the Federal Government later reduced the planned capacity by about 50 per cent. A ground-breaking ceremony was held in 2007 during the Obasanjo administration, and a Chinese firm was contracted to build the plant following agreements signed at the Beijing Summit of the China-Africa Forum in 2006. Despite these efforts, the project became mired in contractual disputes and litigation that stalled its execution for years.
The arbitration ruling represents a significant legal reprieve for the Federal Government, which has faced multiple claims arising from the disputed 2003 contract. The tribunal's rejection of Sunrise Power's claims removes a major obstacle to the project's advancement. Tinubu said the Federal Government remained committed to working with genuine investors and honouring its legal obligations, but would continue to defend what he described as opportunistic claims against the country's resources. "While our country remains committed to partnering with genuine investors and honouring its legal obligations, it will continue to defend all opportunistic claims instituted against our commonwealth strongly," he said.
The ruling has also ignited a political firestorm. The All Progressives Congress Campaign Council has called on former Vice President Atiku Abubakar to withdraw from the 2027 presidential race over an alleged five-hundred-thousand-dollar payment connected to the Mambilla contract. The council alleged that the payment was made in January 2003 by Leno Adesanya, the promoter of Sunrise Power, to Jennifer Douglas, who was then married to Atiku, through China Castle Investments Limited, an offshore company Adesanya controlled. The council stated that the payment came less than four months before Sunrise Power was purportedly awarded the build-operate-transfer contract for the Mambilla project on May 22, 2003. Atiku's camp has not issued a detailed response to the allegation, which has not been independently verified. The tribunal examined the payment as part of its proceedings, and the APC campaign council has framed its demand for Atiku's withdrawal as a matter of accountability.
The Mambilla project remains central to Nigeria's ambition to diversify its energy mix and expand its power generation capacity. The country currently generates a fraction of its potential hydroelectric capacity, and the Mambilla complex, when completed, is expected to contribute significantly to the national grid. The project's long history of delays and disputes has made it a symbol of Nigeria's struggle to execute large-scale infrastructure projects, and the ICC ruling is expected to provide the legal clarity needed to move forward. Tinubu said the Federal Government would continue to protect Nigeria's interests in international commercial disputes and reaffirmed his administration's commitment to advancing major infrastructure and power projects nationwide.
For the EFCC, the President's commendation represents a significant vote of confidence in its investigation, which has been the subject of legal challenges. The commission has appealed a judgment of the Federal Capital Territory High Court that awarded ten million naira in damages to Agunloye over a defamatory social media publication linked to the alleged Mambilla fraud. The EFCC has argued that the substance of its report was substantially true and that the publication was based on the fact of Agunloye's arraignment. The commission's investigation into the Mambilla contract has been a central element of the legal defence that contributed to Nigeria's victory at the ICC, and the President's public acknowledgment underscores the role that domestic anti-corruption investigations can play in strengthening the country's position in international arbitration.
As Nigeria moves to advance the Mambilla project, the coming months will test whether the legal victory translates into tangible progress. The government has said it remains committed to genuine investors and to honouring its legal obligations, but the project's history suggests that execution will require more than a favourable arbitration ruling. It will require sustained political will, transparent procurement, and the kind of institutional coordination that has often eluded Nigeria's large infrastructure ambitions. For now, the ICC ruling has removed a major legal barrier, and the President has framed the outcome as proof that Nigeria can defend its interests and hold those who abuse public trust to account.
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