High Court Halts Adani’s 30-Year JKIA Lease Deal Amid Legal Challenge
The High Court has halted the plan to lease Jomo Kenyatta International Airport (JKIA) to Indian corporation Adani Enterprises temporarily.
In a case marked as urgent, the Kenya Human Rights Commission and the Law Society of Kenya (LSK) opposed the proposal, which would see Adani manage JKIA for 30 years.
The two bodies argued that JKIA is a valuable and strategic national asset, and the deal undermines governance principles, transparency, accountability, and responsible use of public funds.
The agreement would involve Adani upgrading the airport, including building a second runway and a new terminal, under a 30-year build-operate-transfer (BOT) model.
However, KHRC and LSK asserted that Kenya could raise the $1.85 billion (Sh238 billion) needed for the airport’s expansion without outsourcing the facility for three decades.
Attorney Dudley Ochiel highlighted that the Adani deal is financially unfeasible, risks job losses, exposes the public to financial threats, and lacks value for taxpayers.
Justice John Chigiti recognized the urgency of the case, placing a temporary hold on the agreement until the matter is resolved.
The judge set October 8 for a case mention to determine when a final ruling will be made.
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Mr. Ochiel emphasized that if Adani proceeds with acquiring JKIA, the application would become irrelevant, as no agreement should be signed before the court’s final decision.
The organizations also revealed their failed attempts to obtain information from JKIA under Kenya’s Constitution and the Access to Information Act.
LSK argued that handing JKIA to Adani for 30 years in exchange for Sh238 billion would result in a loss of operational control and financial benefit for the public.
Mr. Ochiel further explained that after the 30-year term, Adani would still hold an 18% equity in JKIA’s aeronautical operations.
Additionally, Adani would receive an 18% concession fee starting at Sh6 billion, increasing by 10% every five years, which breaches Article 201(c) on resource distribution between current and future generations.
He also noted that Adani would gain access to 30 acres of land near JKIA for airport-related business development under the agreement.
Moreover, the deal would allow Adani to operate tax-free for ten years, import foreign labor, and receive free work visas, potentially harming Kenyan workers’ livelihoods and violating several constitutional rights.
High Court Halts Adani’s 30-Year JKIA Lease Deal Amid Legal Challenge
