Kenya: High Court Puts On Hold Adani, Ketraco Transmission Line Deal

President William Ruto.
25 October 2024

Nairobi — The High Court has temporarily halted the Sh96 billion deal between the Energy Ministry and Adani Energy Solutions Limited for the construction of electricity transmission lines and substations.

Justice Bahati Mwamuye ordered that no further actions be taken on the agreement until the matter is resolved.

The respondents have until November 1 to file and serve their responses to both the application and petition.

The court will reconvene on November 11 at 11:00 AM to confirm compliance and discuss further directions for an expedited hearing.

The deal, signed on October 12, would allow Adani to build and operate four transmission lines and two substations for 30 years before returning them to Kenya.

This partnership has faced scrutiny, with Kenyans expressing concerns over the company's previous operations in other countries.

In defense of the partnership, President William Ruto stated that engaging with the private sector is crucial to unlocking the country's resources and avoiding additional loans or tax increases.

He emphasized the need for public-private collaboration, citing the successful Nairobi Expressway as a notable example.

The agreement was reached after four months of negotiations, according to Energy Cabinet Secretary Opiyo Wandayi.

Key projects under the deal include a 400kV Gilgil-Thika-Malaa-Konza line spanning 208.73 km and a 220kV Rongai-Keringet-Chemosit line covering approximately 100 km, alongside new substations in various locations.

Ruto expressed concern that "investors believe in Kenya more than we do as Kenyans," underscoring the importance of attracting private sector investment for the country's development.

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