Dispute over Doraleh container terminal continues
The DP World group has announced that a sole arbitrator ruling under the aegis of the London Court of International Arbitration issued a new award on 10 January 2020 in the dispute of the operator with the Republic of Djibouti, following the termination of the concession contract for the Doraleh container terminal on 22 February2018.
In a press release, the Republic of Djibouti stated that "it can in no way accept such a decision, rendered in proceedings in which it did not participate and which flout the rules of international law. These rules allow a sovereign state to terminate any contract for a reason invoking the best interests of the nation in return for fair compensation." The Republic of Djibouti has maintained this position since February 2018.
It points out that the termination of the concession for the container terminal, which had been awarded in 2006 to the company DCT (Doraleh Container Terminal), a joint company created by the autonomous international port of Djibouti and DP World, was decided in a legislative framework previously voted by the Djiboutian parliament on 8 November 2017.
Furthermore, it blamed DP World for the dispute, saying that "in several attempts to renegotiate the concession, initiated by the government in application of Djiboutian law, the DP World group continually refused to listen to the state's legitimate requests."