Adani Airport Holdings Limited, a subsidiary of the Indian infrastructure giant Adani Group, has confirmed it paid a $50,000 (approximately Ksh.6.47 million) review fee to the Kenyan government for its $1.85 billion (Ksh.242 billion) proposal to take over and revamp Jomo Kenyatta International Airport (JKIA) in Nairobi.
In recent court filings, Adani disclosed that the payment was made to the Public Private Partnerships (PPP) Facilitation Fund, along with the submission of all necessary documents required for its privately initiated proposal (PIP) to the Kenyan government. These submissions include incorporation, tax compliance, and financial documents.
The proposal, which seeks to overhaul Kenya’s busiest airport, has stirred controversy and is currently facing legal challenges.
The Kenya Human Rights Commission (KHRC) and the Law Society of Kenya (LSK) lodged a case on September 9, seeking to block the deal over concerns about transparency and public consultation.
The case has temporarily halted any further action on the lease of JKIA until a resolution is reached, with a mention scheduled for October 8.
In its defense, Adani stated that the Kenya Airports Authority (KAA) acknowledged receipt of the PIP in March 2024, allowing the project to move forward to the feasibility study phase.
The company has since submitted a feasibility report detailing the environmental, social, and financial aspects of the project, along with a preliminary operational plan.
Court documents revealed that the project is still under review and due diligence, and Adani dismissed allegations from KHRC and LSK that JKIA had already been leased to a foreign entity for 30 years.
The Indian company insists that its proposal aligns with Kenya’s national infrastructure priorities and aims to address long-standing issues at JKIA, including infrastructure flaws and deterioration.
Adani maintains that the proposal follows the legal requirements of Kenya’s Public Private Partnerships Act, which allows for privately initiated projects if they are aligned with national priorities, provide value for money, and meet societal needs.
The case has drawn significant attention due to the strategic importance of JKIA, a key hub for air traffic in East Africa. Government officials, including former Transport Cabinet Secretary Kipchumba Murkomen, have previously hinted at the need for a major upgrade to JKIA but did not provide detailed cost estimates.
KAA acting CEO Henry Ogoye has also acknowledged that the government lacks the fiscal resources for the required investment, making private sector involvement necessary.
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