High Court Halts KETRACO’s Deal with Adani

The High Court on Friday halted the recently launched deal between Kenya Electricity Transmission Company (KETRACO) and Adani Energy Solutions, delivering a setback to the government’s plans to partner with the multinational. The deal, inaugurated by the President just a day earlier, faced a legal challenge from the Law Society of Kenya (LSK), which petitioned for an injunction pending a full hearing.

Justice Bahati Mwamuye ruled that LSK had established sufficient grounds for an injunction, noting, “Pending the inter-parties hearing and determination of the Application dated 23/10/2024, a conservatory order is hereby issued suspending the implementation of any Project Agreement between the respondents and the 2nd Respondent or its related companies and entities regarding the development of transmission lines, substations, or other electrical infrastructure.” This suspension order applies to agreements involving KETRACO, Adani, and related entities until the court convenes for a full hearing.

Additionally, the judge issued a restraining order preventing the respondents and their representatives from entering into new agreements or furthering existing ones with Adani or its affiliates for power infrastructure projects until the hearing is resolved.

Justice Mwamuye directed LSK to serve the petition to all respondents by close of business today. The respondents must file their responses by November 1, and the case is scheduled for a mention on November 11 for further directions.