Kenya: High-Profile Adani Power Deal Among Projects Halted By State

5 January 2026

Nairobi — The government has officially announced the termination of the Adani-sponsored Power Transmission Lines project, which had faced intense public scrutiny after receiving approval two years ago.

The project, which involved the construction of a high-voltage power transmission line under the Kenya Electricity Transmission Company (KETRACO), was among four major Public-Private Partnership (PPP) projects in the transport and energy sectors that were terminated before reaching financial close.

According to government records, the Adani-sponsored energy project was valued at about Sh96 billion and was signed by the Ministry of Energy in October 2024. However, it was cancelled a month later by President William Ruto over integrity concerns surrounding the firm.

"The termination process is underway; therefore, the termination costs are yet to be determined," the report said.

The three other cancelled projects were large road developments overseen by the Kenya National Highways Authority (KeNHA).

These include the Nairobi-Nakuru-Mau Summit Highway project, which was scrapped after the government deemed it unaffordable. The State estimates that terminating the project has cost taxpayers Sh7.3 billion.

The other two road projects--Road Annuity Lot 3 and Lot 32--were also terminated after being found to lack value for money.

AllAfrica publishes around 500 reports a day from more than 120 news organizations and over 500 other institutions and individuals, representing a diversity of positions on every topic. We publish news and views ranging from vigorous opponents of governments to government publications and spokespersons. Publishers named above each report are responsible for their own content, which AllAfrica does not have the legal right to edit or correct.

Articles and commentaries that identify allAfrica.com as the publisher are produced or commissioned by AllAfrica. To address comments or complaints, please Contact us.