Hearing a compensation claim for $ 500 million against Tanzania established for March 6

The details of the beginning of the audience on March 6, 2025 were published on the World Bank (WB) website, which supervises the ICSID.

However, the Government of Tanzania has not yet commented on the last development.

When asked about the case, Attorney General (AG) Hamza Johari declined to comment, instead of asking questions to the Attorney General (SG).

“Have you contacted the Attorney General? Please, contact him, since he is familiar with all cases of the government, I even receive information from him,” said Ag Johari.

However, despite the attempts to reach the Attorney General, Dr. Ally Possi, by phone and WhatsApp messages both before and after Ag Johari’s instructions, there was no answer.

According to the ICSID, both parties have already appointed their referees, with a jointly selected president, Jan Paulson.

Brooks Daly, former Secretary General and principal legal advisor of the Permanent Court (PCA), former deputy secretary Secretary General and Makhdoom Ali Khan, appointed, designated designated, and Makhdoom Ali Khan, appointed by the claimants, former undersecretary Secretary General and Makhdoom Ali Khan, appointed, Tanzania, will designate the statement, designated by the state The former Undersecretary, former Undersecretary and main legal advisor of the Permanent Court of Arbitration (PCA), and Makhdoom Ali Khan, appointed by the respondent, Tanzania.

Before the audience, each party had to publish a $ 200,000 bonus (more than SH500 million).

Aqua Power, which is a company generating energy from various energy and infrastructure sources, seeks compensation of $ 500 million (more than Sh1.3 billion) of Tanzania.

The company states that compensation is for the lost businesses in the last four years and the value of its current projects in Tanzania.

In its application for arbitration and notification of dispute to the government, Aqua Power alleges that Tanzania, through several coordinated authorities and other entities, has repeatedly violated the Bilateral Investment Treaty (BIT) that he signed with Mauricio.

The company states that the government has issued discriminatory directives, denied IT licenses and permits, and restricted access to natural gas resources for its operations.

Aqua Power explains that he was invited by the Dangote group to invest in energy through the construction of a gas energy plant for the generation of electricity.

According to that agreement, Aqua Power states that he built an energy plant of 45 megawatts in Mtwara, registered at the Tanzania Investment Center (ICT) and invested $ 50 million (SH135 billion).

However, he affirms that the government denied him the license to generate and sell electricity, instead of granting the license only to Dangote, although Aqua Power is the owner of the plant and without just cause.

In addition, Aqua Power states that Tanzania Petroleum Development Corporation (TPDC) refused to sell raw materials, specifically natural gas, for its operations without valid reasons. The company states that Tanzania is facilitating the appropriation of its resources for CSI Energy Group (Tanzania) limited without any compensation for legitimate owners.

Aqua Power also claims that although he was denied the license to produce electricity for the sale to Tanesco and Mozambique, the license was first granted to Dangote and then CSI for the same projects recorded by Aqua Power with ICT.

Other level -level accusations against the government include the failure in carrying out fair and equitable tender processes, which leads to a clear discrimination against Aqua Power, which states that Tanzania is looking for new owners for its resources.

Consequently, the company argues that these actions of Tanzania violate articles 3, 4 and 5 of the bilateral investment treaty between Mauricio and Tanzania (Bit).

Before submitting the lawsuit, Aqua Power issued a six -month notice to the Government of Tanzania on September 17, 2023, expressing its intention to initiate legal procedures while inviting the government to participate in discussions to reach a friendly agreement. The company allowed six months for negotiations, in accordance with article 8 of the BIT with respect to the resolution of disputes.

According to arbitration application documents, the six -month period ended on March 31, 2024. The first meeting of both parties took place on March 12, 2024 at the Office of the Attorney General.

Both parties agreed to meet again for a second session to reach an agreement, but that meeting never happened, despite the repeated requests of trainers and reprogramming of Tanzania. The last planned meeting was scheduled for July 9, 2024.

However, on June 28, 2024, the Government informed Aqua Power in writing that its negotiation team could not meet for the second session as scheduled on July 9, 2024, due to the pending approvals of the relevant authorities.

When Aqua Power presented his case on September 17, 2024, the second meeting had not yet occurred. In its notice, the company indicated that it had been patient for three years, reaching several government officials regarding their complaints but did not receive answers.