Standard Chartered Bank (HK) Ltd. v. United Republic of Tanzania ICSID Case No. ARB/10/12

The problem

The Tanzania Electric Supply Company (TANESCO) was taken to international arbitration by a private generation, Independent Power Tanzania Ltd (IPTL), which alleged that TANESCO owed it $258 million under the terms of power purchase agreement for supply of power from IPTL’s 100 MW plant.

How we helped

Castalia’s expert David Ehrhardt testified before the ICSID tribunal that IPTL had been over-invoicing TANESCO. He demonstrated that, under the terms of the power purchase agreement and the decision in an earlier arbitration, IPTL should have reduced the tariff when it decided to finance the plant with shareholder loans, not equity. If the tariff had been properly calculated, outstanding payments and penalties would be much less than the amount IPTL claimed.


IPTL had initiated international arbitration claiming that TANESCO had underpaid for power and owed US$118,609,392.31 in past due bills and penalties.

Our team

David Ehrhardt

David Ehrhardt

Chief Executive

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