Kalpataru Power wins $32 mn arbitration award against Rwanda Energy

24 Sep 2021 CW Team

Kalpataru Power Transmission has obtained an arbitration award of over $32 million against the Rwanda Energy Group.

The dispute was over an agreement to establish and commission a 220 kV power transmission network interconnecting the Rwanda and Democratic Republic of the Congo in Central Africa.

The Indian power transmission and distribution company had entered into a deal for the engineering, design, supply, development, establishment and commissioning of the network in November 2013. Development started in October 2014, and the operational certificate was released in May 2017.

It was a multipurpose project under joint development by Rwanda and the Democratic Republic of Congo, financed by the African Development Fund along with Kreditanstalt für Wiederaufbau.

In February 2016, Kalpataru raised a claim of around $24 million against Rwanda Energy for a cost adjustment, as per the terms of the agreement. But, Rwanda Energy notified the Mumbai-based firm to raise the claim after the project completion.

Soon after the project got completed, when Kalpataru raised the claim in March 2017, it was challenged by Rwanda Energy.

According to the clauses in the contract, the issue was referred to the Disputes Adjudication Board. In December 2019, the board ordered in favour of Kalpataru and said that it was entitled to a cost adjustment claim of $24 million-plus Rwandan franc of 35 million, along with interest of $3.6 million and Rwandan franc of 5.3 million.

Rwanda Energy disputed the ruling by starting the arbitration process. After hearing both the parties, a three-member arbitration tribunal confirmed the ruling of the board in support of Kalpataru. On August 28, the tribunal ordered Rwanda Energy to pay over $32.25 million, covering price adjustment claim and legal cost, within a month from the passing of the award.

Image Source

Also read: BHEL successfully implements UHVDC link in western, southern grid

Kalpataru Power Transmission has obtained an arbitration award of over $32 million against the Rwanda Energy Group. The dispute was over an agreement to establish and commission a 220 kV power transmission network interconnecting the Rwanda and Democratic Republic of the Congo in Central Africa. The Indian power transmission and distribution company had entered into a deal for the engineering, design, supply, development, establishment and commissioning of the network in November 2013. Development started in October 2014, and the operational certificate was released in May 2017. It was a multipurpose project under joint development by Rwanda and the Democratic Republic of Congo, financed by the African Development Fund along with Kreditanstalt für Wiederaufbau. In February 2016, Kalpataru raised a claim of around $24 million against Rwanda Energy for a cost adjustment, as per the terms of the agreement. But, Rwanda Energy notified the Mumbai-based firm to raise the claim after the project completion. Soon after the project got completed, when Kalpataru raised the claim in March 2017, it was challenged by Rwanda Energy. According to the clauses in the contract, the issue was referred to the Disputes Adjudication Board. In December 2019, the board ordered in favour of Kalpataru and said that it was entitled to a cost adjustment claim of $24 million-plus Rwandan franc of 35 million, along with interest of $3.6 million and Rwandan franc of 5.3 million. Rwanda Energy disputed the ruling by starting the arbitration process. After hearing both the parties, a three-member arbitration tribunal confirmed the ruling of the board in support of Kalpataru. On August 28, the tribunal ordered Rwanda Energy to pay over $32.25 million, covering price adjustment claim and legal cost, within a month from the passing of the award. Image SourceAlso read: BHEL successfully implements UHVDC link in western, southern grid

Technology

29 Jul 2026

AI-Enabled Workflows Lift Profitability and Productivity

Organisations modernising frontline workflows with artificial intelligence, automation and real-time data are reporting stronger financial performance, higher productivity and improved employee engagement, according to a global study by Zebra Technologies and Oxford Economics.The research covered 1,000 senior leaders across retail, manufacturing, transportation and logistics in the US, Mexico, the UK, Germany, India, Japan, Australia and New Zealand.In transportation and logistics, 54 per cent of companies that improved picking and packing operations reported faster operational performance, wh..

Real Estate

29 Jul 2026

India Leads Global AI Readiness but Implementation Lags

Indian companies lead global averages across all eight artificial intelligence readiness indicators tracked by JLL, but only 19 per cent have started making changes to their workplaces, according to the JLL 2026 Future of Work Survey.The study found that 77 per cent of Indian business leaders expect AI to change their office requirements, creating a 58-percentage-point gap between awareness and implementation. The survey covered more than 2,200 CEOs, CFOs and real estate leaders across 21 countries during the first quarter of 2026.Despite concerns over automation, 58 per cent of Indian leaders..

Equipment

29 Jul 2026

Three WOLFF Cranes Build Riyadh Cable-Stayed Bridges

Three WOLFF 180 B luffing jib cranes are supporting the construction of two cable-stayed bridges alongside the existing Wadi Laban Bridge in Riyadh, Saudi Arabia. The project is being developed for the Royal Commission for Riyadh City and executed by the ICRC joint venture comprising IC Ictas and Al Rashid Trading & Contracting Company.The cranes are handling lifting operations including formwork, reinforcement, concrete placement, work platforms, surveying equipment and other construction materials. Each crane is fitted with a 40 m jib, reaches a hook height of 157 m and offers a maximum ..