The Cabinet Secretary for Roads and Transport, Davis Chirchir, has assured the Senate Committee on Roads, Transportation, and Housing that no formal concession agreement exists between the Kenya Airports Authority (KAA) and India’s Adani Airport Holdings Limited.
This statement comes after Adani submitted a Privately Initiated Proposal (PIP) in March 2024 to build, operate, and transfer Jomo Kenyatta International Airport (JKIA) under a Public-Private Partnership (PPP) framework. According to Chirchir, the proposal is still undergoing stakeholder engagement, due diligence, and initial drafting.
Adani’s proposal includes plans to refurbish the current terminal and construct a new passenger terminal capable of handling 23 million passengers, along with supporting infrastructure like access roads, a parking garage, and a second runway. However, Chirchir noted that details such as design and mapping are pending and will only be finalized once a concession agreement is in place.
The issue of land allocation to Adani has been a concern. The company initially requested 30 acres of JKIA land for commercial real estate purposes. Chirchir clarified that this request has been excluded from the concession discussions and will be handled separately, in line with KAA’s policies.
Addressing concerns about transparency, Chirchir emphasized that no contracts had been awarded to Adani, as the PIP process involves stringent evaluation steps, including approval from the PPP Committee and further vetting by the Attorney General and the cabinet before any agreement can be signed.
On the future of JKIA employees, Chirchir reassured the Senate that the concession terms would protect workers’ interests. Employees will have the option to either transition to the new management, remain with KAA, or take a voluntary exit package during a three-year interim management period.
The Senate Committee has resolved to summon the Treasury Cabinet Secretary and the Principal Secretary for further clarification before finalizing their report on the matter.
This development follows ongoing scrutiny surrounding the involvement of foreign investors in managing Kenya’s key infrastructure, with stakeholders keen to ensure transparency and protection of local interests.
