Arbitral Digest

Matter

Tanzania Electric Supply Company Limited v Independent Power Tanzania Limited (ICSID Case No. ARB/98/8)

Case no.
ARB/98/8
Applicable rules
ICSID Arbitration Rules
  1. 20 December 1999Arbitration

    20 December 1999Arbitration

    Decision on the Respondent's Request for Provisional Measures

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal held that the requested recommendations sought performance of the agreement, fell outside the scope of ICSID Arbitration Rule 39, and were not shown to be urgently required. It declined to make the recommendations sought.

    Supporting details

    3 authorities · 5 participants
    Tanzania Electric Supply Company Limited
    Independent Power Tanzania Limited
    International Centre for Settlement of Investment Disputes

    Authorities cited

    3
    • English Arbitration Act 1996 (Arbitration Act 1996)
      statute
    • Atlantic Triton Co. Ltd v Guinea (3 ICSID Reports 3)
      case-law
    • Provisional Measures in ICSID Arbitration (2 Arbitration International 335)
      academic

    5 months and 2 days later · 154 days

  2. 22 May 2000Arbitration

    22 May 2000Arbitration

    Decision on Preliminary Issues

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal held that the Power Purchase Agreement was a valid and effective contract, that TANESCO was not entitled to serve a notice of default or terminate on that basis, and that the Reference Tariff was to be adjusted under Addendum No. 1 by reference to the stated underlying assumptions, subject to the stated qualifications on the internal rate of return and reasonable and prudent costs.

    Supporting details

    1 authority · 5 participants
    Tanzania Electric Supply Company Limited
    Independent Power Tanzania Limited
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Kenneth Rokison

    Authorities cited

    1
    • Tanzanian Evidence Act 1967 (Evidence Act 1967)
      statute

    8 months and 18 days later · 263 days

  3. 9 February 2001Arbitration

    9 February 2001Arbitration

    Decision on Tariff and Other Remaining Issues

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal dismissed the bribery allegation, found no failure of the relevant conditions precedent, rejected the parties' respective allegations of bad-faith negotiation and conspiracy, found that IPTL breached its implied obligation to act reasonably and prudently in relation to specified project costs, rejected the allegation concerning the Fuel Supply Agreement, found no relevant waiver or estoppel, directed the parties to cooperate toward commercial operation, and ordered each party to bear its own legal and other costs while sharing arbitration costs equally.

    Supporting details

    5 participants
    Tanzania Electric Supply Company Limited
    Independent Power Tanzania Limited
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Kenneth Rokison

    3 months and 15 days later · 104 days

  4. 24 May 2001Arbitration

    24 May 2001Arbitration

    Decision on All Further Remaining Issues

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal directed that the Construction Contingency Reserve be included in the Project Cost for present purposes and released when commercial operations commence, subject to any qualifying variation dispute; rejected a further adjustment based on IPTL's alleged reduced equity contribution; incorporated the parties' stipulations on gas conversion, financing and agency fees, and insurance; and ordered the parties to cooperate toward commercial operations within 90 days of publication of the Final Award.

    Supporting details

    5 participants
    Tanzania Electric Supply Company Limited
    Independent Power Tanzania Limited
    International Centre for Settlement of Investment Disputes
    Arbitrator
    Kenneth Rokison

    1 month and 18 days later · 49 days

  5. 12 July 2001Arbitration

    12 July 2001Arbitration

    Final Award

    International Centre for Settlement of Investment Disputes

    Decision summary
    The Tribunal confirmed that the Power Purchase Agreement remained valid and effective, set the Reference Tariff by reference to Appendix F, incorporated the parties' agreement on gas conversion, ordered the parties to cooperate toward commencement of commercial operations, and allocated each party its own legal and other costs while dividing the arbitration costs equally.

    Supporting details

    5 participants
    Tanzania Electric Supply Company Limited
    Independent Power Tanzania Limited
    International Centre for Settlement of Investment Disputes

Matter record

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Tanzania Electric Supply Company Limited v Independent Power Tanzania Limited (ICSID Case No. ARB/98/8) · Matter