Former Prime Minister Raila Odinga now wades into the debate on the involvement of the Adani Group in major infrastructure projects in Kenya. In a statement to the media on Sunday, he addressed controversies raised by critics on transparency and investor integrity.
Raila said that Adani was interested in Kenya since the year 2010, hence the discussion on Public-Private Partnerships proposed for JKIA modernization and improvement of Kenya’s Power Transmission Sector.
“The current Prime Minister Narendra Modi, then Chief Minister of Gujarat, introduced me to Adani when I was the Prime Minister,” Raila said. He recounted his experiences on the ground when he visited Gujarat, where Adani turned a swamp into a thriving port and industrial hub.
“I went to Mumbai and saw how they transformed a collapsing airport into world-class facilities,” he added. “And their power projects serve several millions.”
Odinga said Adani’s investment proposal to Kenya was made over a decade ago but faced delays due to the absence of a legal framework for PPPs then in place. He said Kenya’s PPP laws are benchmarked with those from Gujarat, where Adani has played an important role in infrastructure development.
He, however, warned that the present framework needs some enhancement in order to be conducive enough for attracting and retaining investor confidence. “There have been concerns about the way PPP processes regarding JKIA and the energy sector have been handled,” he said. “We must ensure that Kenya remains attractive for investment.
Raila described Adani as a credible partner: “They have proved their abilities in projects that rival what we have witnessed in East Africa,” he said. He called on the government to allay public fears over the project transparently.
Odinga referred to the protection of national interests, saying that included laws on labor and protection of the environment. “If we scare away investors like Adani, we are risking stalling critical infrastructure development,” he cautioned.
He called on stakeholders not to politicize the issue, saying there is a need for Kenya to remain competitive in attracting foreign capital. “If we mishandle this, it could retard our development perhaps for decades to come,” he warned.
The Adani Group has offered to invest around $1.84 billion in the expansion and modernization of JKIA, including a new terminal and other infrastructure upgrade works.
The project is to be completed in 30 years under a BOT agreement. However, the proposal has generated huge debate.
Opponents, including the Kenya Human Rights Commission and the Law Society of Kenya, say the agreement puts the risk of privatizing a profitable national asset. There are also concerns over job security for the Kenyan workers and value for money for the deal
