Kenyan Court Halts Adani’s Power Project

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Kenya’s High Court has issued a temporary injunction, halting a $736 million deal between the state-owned Kenya Electricity Transmission Company (KETRACO) and Adani Energy Solutions. The deal, signed earlier this month, aimed to establish and operate power infrastructure, including transmission lines.

The Law Society of Kenya, a legal professional body, challenged the agreement, alleging that it was shrouded in secrecy and lacked meaningful public participation, as mandated by Kenya’s Public-Private Partnerships Act of 2021. The law society argued that the deal could potentially harm the country’s economic interests.

The court’s decision to suspend the project underscores the growing scrutiny surrounding public-private partnerships in Kenya. The Adani Group, led by Indian billionaire Gautam Adani, has faced increasing criticism for its involvement in various projects in the country.

Another controversial project initiated by the Adani Group involves a proposed 30-year lease of Kenya’s main airport in exchange for expansion plans. The Law Society of Kenya, along with the Kenya Human Rights Commission, has also challenged this deal, raising concerns about its affordability, potential job losses, and overall value proposition.

As the legal battles unfold, the future of these projects remains uncertain. The Kenyan government will need to carefully consider the legal implications and public sentiment surrounding these deals, balancing the need for infrastructure development with transparency and accountability.