A court in Nairobi has issued conservatory orders barring the government from implementing any of the deals agreed between Kenya Electricity Transmission Company Limited (KETRACO) and Adani.
Adani had entered into a Ksh96 billion deal with KETRACO that would see the Indian conglomerate operate four electricity transmission lines and two substations in Kenya for 30 years before handing them back to Kenya.
“Pending the inter parties hearing and determination of the Application dated 23/10/2024 a conservatory order be and is hereby issued suspending the implementation of any project agreed”, the order by judge Nahati Mwamuye partly read.
“That any project between the respondents jointly and any if its related companies and entities with regard to development of transmission lines, substations, or any other electrical power infrastructure ” the order continued.
The judge also ordered KETRACO not to enter into any new agreement or furthering any existing agreement with Adani or any of its subsidiaries.
The case shall be mentioned on November 11, 2024 when compliance will be confirmed and when further directions will be issued.
The court’s decision comes after the Law Society of Kenya (LSK) filed a petition against KETRACO at the Milimani Law Courts, contesting the partnership between the Indian Conglomerate Adani and the State electricity transmission company.
In its petition, the LSK argued that the agreement was a constitutional sham. The law body also argued that the agreement was marred in secrecy and the government was not transparent about the deal, which in any case was a matter of national interest.
“The agreement is a constitutional sham, and it is tainted with secrecy and is short of principles of integrity, transparency, openness and accountability.” read part of the petition by LSK.
LSK also argued that the deal was not subjected to public participation as is required by the law. The body also submitted that due diligence on the Indian company had not been conducted.
The ruling was issued one day after President William Rutovoiced his support for the partnership between the Adani Energies Limitedand KETRACO.
Speaking on Thursday, October 24 during the groundbreaking of the the 35MW Orpower 22 Power Plant, in Nakuru County, the president hailed Public-Private partnerships stating they will go a long way in reducing the burden on taxpayers.
“The Adani Group is investing in the transmission line with their own money Ksh 95 billion. We would have gone to borrow that money and burden the people of Kenya, but this is now a private-sector investment.” Ruto stated.
