NAIROBI, Nov. 21 (Xinhua) -- Kenyan President William Ruto on Thursday ordered relevant government agencies to cancel the procurement process to expand the country's main airport by the Indian conglomerate Adani Group.
While delivering his State of the Nation Address in the parliament in the Kenyan capital of Nairobi, Ruto also directed the Ministry of Energy and Petroleum to cancel a 739-million-U.S.-dollar deal the ministry had signed with a subsidiary of the Adani Group to construct electricity transmission lines.
Under a proposed public-private partnership deal between the Indian company and the Kenyan government, the Adani Group will take over operations at the Jomo Kenyatta International Airport, one of the busiest airports in Africa.
Under the proposed 30-year, 1.85-billion-U.S.-dollar agreement, the Adani Group planned to upgrade the airport, including the construction of a second runway and a new passenger terminal.
The Indian firm was also expected to renovate and refurbish existing airport facilities.
Ruto in the past had defended the deal despite resistance from aviation workers, who argued that the deal was not beneficial to Kenyans and would risk their jobs.
As for the agreement on constructing electricity transmission lines, Adani Energy Solutions, a unit of the Adani Group, was required to raise all the funding in the form of debt and equity, which would be repaid over 30 years, to develop, finance, construct, operate, and maintain key transmission lines and substations across Kenya.
Adani Energy Solutions would manage the transmission lines for 30 years, ensuring long-term sustainability and efficiency, and thereafter transfer the project and all its assets to the Kenya Electricity Transmission Company.
Ruto told the parliament that the cancellation of the deals was based on credible information provided by investigative agencies and partner nations.
