The Adani Group, led by Indian billionaire Gautam Adani, has entered into a controversial deal to manage Kenya’s busiest airport, Jomo Kenyatta International Airport (JKIA), located in Nairobi. This deal, which has become a topic of national debate, has led to strikes, court cases, and Senate hearings in Kenya, with various groups raising concerns over the transparency and potential impacts of the agreement.
Adani’s Entry into Kenya Raises Concerns
Gautam Adani, currently the second-richest man in Asia, has been expanding his business interests across Africa, and the deal to operate JKIA is part of this larger strategy. However, the entry of the Adani Group into Kenya’s aviation sector has not been smooth. The deal has been criticized for its lack of transparency, with opposition leaders and airport workers voicing concerns that the Kenyan government has not provided enough information about the terms of the agreement.
Governor Anyang Nyong’o, a prominent opposition leader, has been vocal in his criticism of the deal, stating that similar secret agreements in Kenya’s history have often resulted in major scandals. Nyong’o, along with other critics, is worried that the deal could lead to unnecessary foreign control over a key national asset.
Court Steps In, Halts Airport Expansion Plan
In response to widespread protests and a lawsuit filed by the Kenya Human Rights Commission and the Law Society of Kenya, the High Court of Kenya recently issued a temporary stay on the expansion project for JKIA. The main argument in court has been that Kenya should be able to fund the $1.85 billion required for the project without needing to sign a long-term concession deal with the Adani Group.
Many critics are concerned that giving a 30-year concession to a foreign company would not be in the best interests of Kenya, and they are particularly worried about the potential job losses for airport workers. The fear of job cuts sparked a major strike by airport employees, which brought operations at JKIA to a halt earlier this month. Passengers were left stranded as workers protested what they viewed as a threat to their livelihoods under the new management.
Transparency Issues: Opposition and Workers Demand More Clarity
One of the most debated points about the Adani-Kenya deal has been the perceived lack of transparency. Opposition leaders have accused the Kenyan government of withholding important details about the agreement. During a recent Senate session, Transport Secretary Davis Chirchir was asked to present the full proposal, but he arrived without the document. Chirchir stated that the proposal is still under review, leaving many questions unanswered.
For many Kenyans, this is a worrying sign. They feel that the government should be more open about such a significant agreement, especially one involving a vital national resource like JKIA. There are fears that the deal might prioritize private profits over public benefits and that Kenya could lose some control over its infrastructure.
Power Transmission Deal Adds Fuel to the Fire
Amid the airport controversy, the Kenyan government has also awarded Adani Group a $1.3 billion contract to build high-voltage power transmission lines in partnership with the African Development Bank. This deal, though less publicized than the airport agreement, has added to the concerns of those who believe that Adani’s growing influence in Kenya could undermine the country’s sovereignty.
Opponents of the power transmission deal have pointed out that Kenya already has the resources and capacity to manage such projects without external help. They worry that foreign companies, particularly large conglomerates like Adani, might gain too much control over essential infrastructure.
Adani Group’s Response to Allegations
In response to the court case and ongoing protests, the Adani Group has denied any wrongdoing. A spokesperson for the company said that the group’s proposals were submitted following Kenya’s Public-Private Partnership Act of 2021 and that all legal procedures have been followed.
The spokesperson also stressed that some of the claims made in the court petitions are “baseless” and that discussions about the terms of the agreements are still in progress. Adani Group has refused to comment further on the specifics of the deal while the legal process continues.
Job Security and Regional Competition
For many Kenyans, the central issue is job security. Airport workers have expressed deep concerns that their jobs could be at risk if the Adani Group takes over JKIA operations. The strike by airport employees earlier this month was a clear indication of the anxiety felt by workers over their future employment.
Meanwhile, neighbouring countries like Ethiopia and Rwanda are making significant investments in their aviation sectors. Ethiopia is constructing what will become Africa’s largest airport with a $5 billion investment, while Rwanda is building a new airport costing $2 billion. These developments add pressure on Kenya to upgrade its infrastructure, but critics argue that there must be a balance between modernization and safeguarding the country’s sovereignty.
