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Mkono clarifies Dawasa- City Water arbitration
2006-07-24 09:15:38
By Guardian Reporter
Arbitrators in the case between Dar es Salaam Water and Sewerage Authority (DAWASA) and City Water Services Ltd at the International Arbitration Tribunal in The Hague are yet to decide on the effect of the latter’s failure to file a statement of claim.
The DAWASA lawyer, Nimrod Mkono, who is also the Managing Partner of the Mkono & Co gave the clarification on the case on Friday in Dar es Salaam.
He was reacting to this paper’s story last Wednesday headlined ’’Dawasa triumphs against City Water’’
’’We expect the default to result in termination of City Water’s claims. It is ultimately for the arbitrators, however, to decide on the appropriate course of action,’’ he said.
He also clarified that neither Messrs Julian Lew nor Michael Lew represents or is an advocate for either party in the case.
’’It is also important to make clear that Messrs Julian Lew and Michael Lee were appointed to be members of an independent and impartial arbitral tribunal deciding the case,’’ Mkono said.
He also clarified that William Laurence Craig, appointed to be the Chairman of the three-member panel issued directions to City Water and its counsel, not to Dr Lew.
According to Mkono, City Water did not specify the amount of damages it was seeking in the arbitration.
’’Alleged damages have been specified by Biwater Gauff (Tanzania) Ltd, the 51 per cent shareholder of City Water, in a separate arbitration against the government,’’ he said, concluding:
’’As for DAWASA’s counterclaim, that amount will be specified in due course and may not necessarily be in the range of USD 20 million to USD 24 million mentioned in the article.
The bond posted by City Water at CRDB, which DAWASA pulled in May 2005 because of City Water’s breaches of contract, may affect the calculation of damages,’’ says the statement.
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