The Kenya Airports Authority (KAA) confirms that it received a significant investment proposal from Adani Airport Holdings Limited to revamp the aging infrastructure of Jomo Kenyatta International Airport (JKIA) after weeks of speculations.
Ogoye emphasized that the comprehensive JKIA Medium Term Investment Plan, approved by the Cabinet, necessitates substantial capital investment. Given the current fiscal constraints, the government cannot fund this upgrade without private sector involvement.
Adani's proposal includes extensive improvements to the passenger terminal, runway, taxiway, and apron. The Cabinet-approved investment plan is crucial for enhancing the airport's infrastructure. However, the funding requirement is significant, and private investment is essential.
The partnership with Adani will be structured under the Public Private Partnerships Act 2021, ensuring rigorous technical, financial, and legal reviews for compliance. As stated by Ogoye, the project agreement will undergo thorough stakeholder engagement, approval from the National Treasury, clearance from the Attorney General, and final Cabinet approval.
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KAA addressed staff and airport business community concerns, assuring no job losses due to the planned upgrades. The expanded facilities are expected to create new business opportunities and benefits for airport operators and the broader community.
In response to concerns about a potential airport sale, Prime Cabinet Secretary Musalia Mudavadi assured that JKIA is not for sale. He emphasized that any sale of such a strategic public asset would require a full public process and parliamentary endorsement. Instead, plans focus on modernizing the airport and constructing a new terminal.
Kisii Senator Onyoka expressed concerns about the agreement's long-term implications, suggesting that foreign entities might control the airport for 30 years, retaining 18% equity post-contract. Despite these claims, the government insists on transparency and adherence to legal processes for the planned expansion.