Kenyan court suspends million-dollar deal of Adani Group with govt power company

Updated: Oct 27th, 2024


Kenya’s high court on Friday suspended the deal of $736 mn (₹6,109 crore) between state-owned Kenya Electrical Transmission Company (KETRACO) and Adani Group’s Adani Energy Solutions to  build and operate power infrastructure including transmission lines, according to reports.

The deal was challenged by the Law Society of Kenya in the high court.

The Law Society has reportedly criticised the power agreement between Adani Power and the state-owned utility, describing it as “a constitutional sham” and “shrouded in secrecy”.

They also allege that KETRACO and Adani Energy Solutions failed to engage in meaningful public participation for the project, a requirement under Kenya’s Public-Private Partnerships Act of 2021, which permits private sector involvement in public project development, suggested the reports.

The proposed airport deal has also been reportedly challenged in the court by the Law Society of Kenya, and the Kenya Human Rights Commission, who have argued that the deal is unaffordable, threatens job losses and does not offer value for money.

Gujarat