The High Court has granted conservatory orders to suspend a Ksh 95.6 billion project agreement between the Kenya Electricity Transmission Company (KETRACO) and Adani Energy Solutions Limited. High Court issues conservatory orders stopping KETRACO and Adani Energy deal
This decision came in response to a petition filed by the Law Society of Kenya, which raised issues related to the agreement's transparency and public involvement.
The ruling was delivered by Hon. Bahati Mwamuye at the Milimani High Court during a session held in chambers.
The court addressed a Certificate of Urgency and a Notice of Motion Application dated October 23, 2024, along with a supporting affidavit from Florence Muturi, the Chief Executive Officer of the Law Society of Kenya.
The petition, also dated October 23, challenges the legality of the project agreement that involves the leasing of strategic national electricity infrastructure for a duration of 30 years.
In its application, the petitioner described the agreement as a "constitutional sham" that lacks the principles of transparency, openness, and accountability.
The petitioners criticized KETRACO and Adani Energy Solutions for failing to conduct adequate public participation and proper due diligence, which they argue contravenes constitutional requirements and the provisions outlined in the Public Private Partnerships Act.
At the interlocutory stage, the petitioners expressed urgency in halting the implementation of the project to safeguard the public interest.
They asserted that the project could adversely impact the national electricity transmission system and that it is crucial to preserve the case's essence while awaiting a thorough judicial review.
Upon preliminary assessment of the presented materials and arguments, the court found that the petitioners met the legal threshold for granting the requested conservatory orders.
The court issued the following directives: The court ordered the suspension of any project agreement between KETRACO and Adani Energy Solutions or any associated companies related to the development of transmission lines, substations, or any electrical power infrastructure, pending further hearings. The court restricted the respondents from entering into new agreements or advancing existing ones related to the project during this interim period. The petitioner must serve the application, petition, and court orders to the respondents by the end of the business day and file an affidavit confirming service. The respondents are required to file and serve their responses to the application and petition by November 1, 2024. The petitioner is allowed to file and serve a rejoinder, if necessary, by November 8, 2024. All parties involved must submit physical copies of their filings to the court. A mention of the matter is scheduled for November 11, 2024, at 11:00 AM, where the court will confirm compliance and provide further instructions regarding the expedited hearing of the application and petition.