EXCLUSIVE: How Former Presidents Obasanjo And Buhari Contradicted Each Other To Destroy Nigeria’s Case In Mambilla Arbitration

Former Nigerian Presidents Olusegun Obasanjo and Muhammadu Buhari gave conflicting testimonies before the International Chamber of Commerce Court of Arbitration in Paris, France, regarding the $6 billion Mambilla Power Project awarded to Sunrise Power.

The dispute centers on the power generation and distribution contract given to Sunrise Power and Transmission Company of Nigeria in 2003. The Nigerian government has contested claims made by Sunrise Power and its Chairman/CEO, Chief Leno Adesanya, who is seeking $2.3 billion in compensation for an alleged breach of contract by the government.

According to transcripts of witness statements exclusively obtained, former President Obasanjo testified before the court on January 22, 2025, arguing that the 2003 agreement on which Sunrise Power based its claims is invalid. He claimed that the agreement was signed by former Minister of Power, Dr. Olu Agunloye, 24 hours after the Federal Executive Council rejected the contract award to Sunrise Power.

Obasanjo stated that a Nigerian minister lacks the executive power to unilaterally award such a contract, especially after the bid was dismissed by the Federal Executive Council (FEC).

However, during former President Buhari’s testimony on January 23, 2025, he repeatedly stated that he could not recall conversations and other details of the contract when questioned by the prosecution lawyer. In the few responses he did provide, Buhari contradicted Obasanjo’s testimony, admitting that Nigeria awarded the contract to Sunrise Power and Transmission Company. This prompted him to direct then Attorney General of the Federation, Abubakar Malami (SAN), and the Minister of Works and Power, Babatunde Fashola (SAN), to negotiate with the company. Buhari also appeared to undermine Nigeria’s case by insinuating that Nigeria, not Sunrise Power and Transmission Company, was the “extortionist.”

Meanwhile, Agunloye is currently facing trial for forgery, disobedience, and corruption related to the power project. The Economic and Financial Crimes Commission (EFCC) has accused Agunloye of awarding the contract without budgetary provision, approval, or cash backing. However, Agunloye claims that the government is using him as a scapegoat to undermine Sunrise Power’s claims.

For instance, when questioned about the power of a minister in the Nigerian government, Obasanjo said, “The minister has no executive power. So as far as executive power is concerned, the minister is powerless.”

The former President said the minister derives his power from the chief executive (President) and the Federal Executive Council. “I was a minister before. And within the Ministry of Works and Housing, if I want to do anything, maintenance of road and all that, it’s my job. Building houses is my job. But when it came to what we call the Africa road network, and you have to talk of Mombasa to Dhaka, African road, that becomes beyond my power. I have to take it to the Federal Executive Council,” he said.

When asked by the prosecution lawyer if Agunloye had full authority as minister to issue the 2003 BOT award to Sunrise Company in the absence of a mandatory public procurement process in 2003, Obasanjo said no. He said, “He had no power at all. Absolutely no power at all.”

Obasanjo went on to explain how the Federal Executive Council rejected the memo for the contract award, and how Agunloye wrote a letter awarding the contract despite the rejection. He insisted, “No because whatever he has brought in, Government funding or no Government funding, that memo was turned down and that memo died. Dead.”

However, Buhari, while being questioned, said he directed Babatunde Fashola to find a way to resolve the issues surrounding the Mambilla power project. He admitted that the dispute between the Federal Government and Sunrise relating to the Mambilla Project was one of those issues. But when asked if he received a proposal from Mr. Fashola regarding how the dispute might be resolved, Buhari said he could not remember most of it.

Buhari later contradicted Obasanjo’s position by admitting that Nigeria awarded the contract to Sunrise Power and Transmission Company. He said, “Yes, I think Nigeria gave the contract to them and then, of course, could not pay, I think, could not finance it.”

When asked if the Sunrise problem was self-inflicted by Nigeria, Buhari replied, “Well, on −− on the 12th and 18th −− I think Sunrise can accuse Nigeria, virtually successfully, for giving its contract and refusing to own up giving the contract.”

He also acknowledged that it was not wrong for Sunrise Power and Transmission Company to sue Nigeria for the alleged breach of agreement, saying, “Yes, there is nothing wrong for them to −− you know, to go on a litigation, let me put it that way.”

Buhari further confirmed he authorized his ministers to negotiate a settlement with Sunrise, but insisted that Nigeria could not afford the $200 million figure that had been discussed.

When questioned further, Buhari agreed that it was wrong for the government to breach a written contract and call the other party an extortionist. He admitted, “Well, I think in this case, it’s the Government that is an extortionist.”