In 1998 Tanesco invoked Article 18 (3) of the PPA and commenced arbitration proceeding in the International Centre for Settlement of Investment Disputes (ICSID) Tribunal in 2001, the Tribunal resolved the dispute by reducing the capacity charges payable to IPTL from 3.6 USD to 2.6 USD per month.
Hata hivyo, TANESCO ilibaini kwamba gharama za ujenzi wa mtambo wa kuzalisha umeme ambazo IPTL iliwasilisha kwake zilikuwa kubwa tofauti na makubaliano ya kwenye Mkataba. IPTL ilikuwa imefunga injini zenye msukumo wa kati (medium speed) zenye gharama ndogo na uwezo mdogo badala ya injini za msukumo mdogo (low speed) zenye nguvu kubwa na bei kubwa.