President William Ruto has ordered the immediate cancellation of the proposed deals by the Adani Group to take over the management of the Jomo Kenyatta International Airport (JKIA) and the Kenya Electricity Transmission Company Limited (KETRACO).
During his State of the Nation Address on Thursday, November 21, Ruto said he reached the decision after receiving new information from partner nations about the Indian conglomerate.
Notably, the United States government charged Gautam Adani, chair of Adani Group, for allegedly paying KSh 30 billion in bribes to the Indian government to obtain solar energy supply contracts.
“I have stated in the past, and I reiterate today, that in the face of undisputed evidence or credible information on corruption, I will not hesitate to take decisive action. Accordingly, I now direct - in furtherance of the principles enshrined in Article 10 of the Constitution on transparency and accountability, and based on new information provided by our investigative agencies and partner nations - that the procuring agencies within the Ministry of Transport and the Ministry of Energy and Petroleum immediately cancel the ongoing procurement process for the JKIA Expansion Public Private Partnership transaction, as well as the recently concluded KETRACO transmission line Public Private Partnership contract, and commence the process of onboarding alternative partners," said Ruto.
The Adani Group was set to invest KSh 238 billion in upgrading and expanding JKIA, with plans to operate the airport for 30 years before handing it back to the government.
The deal also included managing the construction and operation of transmission lines and substations for KETRACO, with the assets to be transferred to the Kenyan government after 30 years in good condition.
The KETRACO project included the development of a 400-kilovolt transmission line from Gilgil through Thika and Malaa to Konza, spanning 208.73 kilometers, as well as new substations in Gilgil, Thika, and Malaa. Additionally, a 220-kilovolt line was to be built from Rongai to Keringet and Chemosit, covering 99.98 kilometers, with new substations at each of the three locations.
