KAA acting Managing Director Henry Ogoye revealed that JKIA has ageing infrastructure, some of which goes back to its construction in 1978, thus posing a threat to Kenya’s regional competitiveness.
The Kenya Airports Authority (KAA) has assured members of the public that it is not planning to sell the iconic Jomo Kenyatta International Airport (JKIA) to an Indian-based multinational conglomerate, Adani Airport Holdings Limited.
In a statement on Wednesday, July 24, KAA acting Managing Director Henry Ogoye revealed that JKIA has ageing infrastructure, some of which goes back to its construction in 1978, thus posing a threat to Kenya’s regional competitiveness.
Ogoye noted that the Cabinet approved the JKIA Medium Term Investment Plan covering the upgrade of the passenger terminal building, runway, taxiway and apron.
A roof under construction as passengers walk within Jomo Kenyatta International Airport on June 10, 2024. /LARRY MADOWO
“The attendant investment requirement is significant and cannot be funded with the prevailing fiscal constraints without recourse to private funding.
“Kenya Airports Authority (KAA) received an investment proposal under the Public Private Partnerships Act 2021 from the Adani Airport Holdings Limited, a key airport operator, to invest in a new passenger terminal building, second runway and refurbishment of the existing facilities at JKIA,” the statement read in part.
Ogoye added that the proposal will be subjected to technical, financial and legal reviews alongside requisite due processes in compliance with the Public Private Partnerships Act 2021.
Furthermore, the Project Agreement will be preceded by Stakeholder Engagement, the National Treasury approval, the Attorney General clearance and the Cabinet approval.
“I wish to assure our Staff that no jobs are at risk. I also wish to assure the airport business community and operators that the expanded facility will create additional business opportunities and attendant benefits,” he assured.
The clarification comes hours after the Law Society of Kenya (LSK) and the Kenya Human Rights Commission (KHRC) gave the government 14 days to fulfil six of its demands.
The lobby groups are demanding copies of all correspondence and minutes of all meetings held by KAA on the deal particularly its correspondence with Adani Group and with the Public-Private Partnership Committee.
They are also demanding information on how the Indian company was procured for the alleged lease deal concerning the country’s international airport.
The groups are also demanding information on the procurement of the transaction advisor as well as a copy of the feasibility study or report on the financial sustainability of the deal by the transaction advisor.
They are also demanding a copy of the contract between the two groups as well as a copy of the project proposal or contract between them.
On Tuesday, Prime Cabinet Secretary (PCS) Musalia Mudavadi assured Kenyans that JKIA is not for sale.
