Transport CS nominee Davis Chirchir confirmed that the government declined a proposal by Adani Airport Holdings Ltd. The proposal was to acquire 30 acres of land near JKIA for real estate and commercial development.
Adani had requested the land to build an ‘airport city’ with recreational facilities. This was to enhance JKIA’s identity. It would also give services for Kenyans. Nonetheless, the government excluded the plea, stating that approval from the Head of Public Service is required by law.
Chirchir informed the Senate committee that the government is not offering free land to Adani. The appeal for 30 acres has been excluded from the pending concession agreement.
The deal is based on the KAA policy on concession and leases, requiring approval by the Head of Public Service. The status of the agreement between Adani and KAA is still under review. A first head of terms agreement approved by KAA summarizes key negotiation items.
The tendering process for the leasing deal with Adani was questioned by the committee. Chirchir explained that the PPP agreement allows private investors to propose their intentions. These intentions are reviewed before the government agrees to the terms.
The government has faced criticism over the secrecy surrounding the Adani proposal to run JKIA on a 30-year leasing agreement. This secrecy has raised speculations about its intentions. The deal is still in the negotiation stage, awaiting final agreement among stakeholders.
Chirchir clarified the government’s stance in response to the committee’s inquiries. The government did not approve the proposal for Adani to acquire land near JKIA. Adani does not have approval for the development.
The deal is contingent on legal procedures and approvals. The government emphasizes that no free land is being offered to Adani for the project. The process is ongoing. KAA is reviewing the proposal. Stakeholders have yet to reach a final agreement on the terms of the concession.
