Obasanjo Arrives in Paris to Testify on the Mambilla Power Scandal

Former President Olusegun Obasanjo has arrived in Paris, France, to testify in a case involving the Mambilla Power Plant scandal. This is part of a $2.3 billion lawsuit filed by Sunrise Power against the Nigerian government at the International Court of Arbitration (ICC).

Tomorrow, former President Muhammadu Buhari is expected to appear before the court to respond to allegations of breaching an agreement with Sunrise. The lawsuit stems from a 2003 contract between the company and the Nigerian government for the construction of a 3,050MW power station in Taraba State.

Witnesses and Allegations

Reports indicate that Michael Aondoakaa, a former Attorney General of the Federation (AGF), who had earlier testified in favor of Sunrise, left Paris midway through the proceedings. Aondoakaa claimed that President Bola Tinubu summoned him back to Nigeria. However, a source from the presidency told TheCable that Tinubu did not call Aondoakaa, as claimed.

Meanwhile, there is speculation that Aondoakaa’s withdrawal might be a strategy by Sunrise to accuse the Nigerian government of intimidating witnesses to gain leverage in the case.

Buhari Denies Approval of Settlement

In January 2024, Buhari wrote to the current Attorney General, Lateef Fagbemi, denying that he authorized the former AGF, Abubakar Malami, to enter into a $200 million settlement agreement with Sunrise to resolve the dispute.

Sunrise initiated legal action against Nigeria in 2017, seeking $2.354 billion in damages for breaching the 2003 agreement. In a separate case, the company is demanding $400 million in damages for the government’s failure to honor a 2020 settlement.

Obasanjo Denies Approving the Agreement

In a 2023 interview with TheCable, Obasanjo challenged his former Minister of Power, Olu Agunloye, to explain how he awarded the contract to Sunrise in 2003 without authorization.

Obasanjo stated:

"During my presidency, no minister had the authority to approve contracts exceeding ₦25 million without presidential consent. There’s no way Agunloye could have committed my administration to a $6 billion project without my approval, and I did not approve it."

He added that if he had known about such a letter from the minister, he would have dismissed him immediately.

Approval or Lack Thereof

Obasanjo recalled that during a Federal Executive Council meeting on May 21, 2003, he directed Agunloye to withdraw the proposal. He mentioned having alternative strategies for addressing Nigeria’s power challenges.

The matter remains unresolved, as the court continues to hear testimonies from various parties to determine the outcome of the case filed against Nigeria at the international level.