Kenya’s High Court has halted the government’s plans to award a major electricity transmission contract to India’s Adani Energy Solutions Limited, citing concerns over the procurement process.
On Friday, the court issued an order blocking the Sh95.68 billion ($740 million) deal after the Law Society of Kenya (LSK) petitioned against it, highlighting issues of public participation and constitutional compliance.
Justice Bahati Mwamuye ruled for a conservatory order, suspending any project agreements related to the development of transmission lines and substations.
The project, designed to enhance Kenya’s electricity infrastructure, has been controversial since its signing on October 11 as a 30-year public-private partnership with the Kenya Electricity Transmission Company (KETRACO). It aimed to finance several high-voltage transmission lines.
This court decision is seen as a win for local contractors who argued they were unfairly excluded from the bidding process.
Adani Group’s recent attempt to secure a management lease at Nairobi’s Jomo Kenyatta International Airport has also faced public protests, with critics expressing concerns over potential threats to local jobs and sovereignty.
Both the airport project and the transmission line deal have faced scrutiny over transparency and public involvement, with opponents warning of economic risks tied to foreign control of critical infrastructure.