On Tuesday (3rd September), the Congress party objected to the Adani Group’s proposal to upgrade an airport in Kenya as the Indian conglomerate could pip Chinese firms who have also been eyeing the same project. While expressing concerns about the developments in Kenya, Congress leader Jairam Ramesh claimed that the ongoing protest against the Adani Group could “easily convert into anger against India and the Indian Government”.
The senior leader responsible for disseminating the official line of the Congress party also linked and blamed the global expansion of the Adani group for the violent outcome and social unrest in India’s neighbourhood, citing the alleged collusion between the Indian Businessman and PM Modi.
The Adani Group’s proposed takeover of the airport in Nairobi, Kenya, has led to widespread protests in the country, with the Kenya Aviation Workers Union calling for a strike to demonstrate its opposition. This is a matter of grave concern for India, because the non-biological…
— Jairam Ramesh (@Jairam_Ramesh) September 3, 2024
However, several netizens slammed the Congress leader for targeting and besmirching an Indian firm that could secure India a strategic airport in Africa giving the country an added advantage over China whose firms had been aggressively gunning for the same project. Previously, OpIndia had in detail pointed out how the Adani Group has been aspiring to challenge China’s maritime dominance, however, the Congress party has targeted the Indian company after signing an MoU with the CCP.
While lambasting Jairam Ramesh, several users also cited the grand old party’s ‘secretive’ Memorandum of Undertaking (MoU) with the Chinese Communist Party (CCP) and accused him of being a pro-Chinese leader and harming India’s interest in petty politics.
Dear Sadde Aam,
— Sumit Joshi (@iSumitjoshi) September 3, 2024
Here’s the complete version with the requested lines at the end:
—
You never worked on foreign policies; you were a minister by accident, not by merit.
Someone from India is trying to secure strategic locations—airports and seaports—to ensure India's… pic.twitter.com/ilPmD0dtKS
Is this part of the MoU?
— Ganesh (@mysrgan) September 3, 2024
Every country – China, France, UK, USA etc has its politicians both ruling and opposition, supporting its business, lobbying for it
To restart looting and help China, fascist dynastic dacoit & his brown nose brigade is trying to destroy India.
Non-biological, the chief doormat of Pappu, Jairam, has a problem with an Indian industrialist taking over an infrastructure project in Africa, which usually goes to Chinese companies. Now tell me the Congress party does not work with the CCP of Chona.
— DrVedu (@DrVedu) September 3, 2024
Adani could pip Chinese firms to secure development project in Kenya’s largest airport; stirs protest among locals
The entire row pertains to Kenya’s largest airport – Jomo Kenyatta International Airport (JKIA) which was built in 1978. It is Kenya’s strategic national asset. According to the Kenya Airports Authority (KAA) officials, its ageing infrastructure is a threat to its regional competitiveness and therefore it has been undertaking upgradation and developing new infrastructure from time to time.
Initially, several Chinese firms secured tenders for developing and upgrading JKIA infrastructure, however, as per reports, the Indian conglomerate is now ahead in securing a project to develop a second terminal at KAA after Beijing’s botched tenders caused heavy losses to the African nation. Strikingly, despite causing heavy losses to Kenya, China on its part has been engaged in doing PR for its work on the JKIA airport.
In July this year, Kenya Airports Authority (KAA) confirmed that it had received an investment proposal under the public-private partnership (PPP) from the Adani Group for the upgradation of the JKIA airport in Nairobi.
Consequently, last month, the government of Kenya said in a statement on the Adani Group’s proposal that JKIA was stretched beyond its capacity of 7.5 million passengers a year and is in urgent need of improvements. They cited incidents like leaking roofs which it said had caused “international embarrassment”.
The statement added that modernising JKIA could cost $2 billion, which the government was “constrained to fund due to the current tight fiscal situation”. Afterwards, it noted that Adani’s offer was “currently being reviewed” adding that if a deal is agreed, there would be safeguards to ensure Kenya’s national interests are protected.
Meanwhile, the Gautam Adani-owned Indian firm has proposed to upgrade the airport, including the construction of a second runway and a new passenger terminal under a 30-year build-operate-transfer (BOT) contract. It is a Sh246 billion deal.
The Adani Group subsidiary will also be expected to carry out renovations and refurbishments to the airport as well as oversee the development and operation of JKIA, Kenya’s largest aviation facility, and East Africa’s busiest airport.
However, the government’s assertion that Adani’s proposal was being reviewed triggered protests in Kenya. The Kenya Aviation Workers Union (KAWU) and Shippers Council of Eastern Africa (SCEA) demanded that all stakeholders involved in the deal should temporarily stop it so that they can get time to read the documents presented by the government, alluding that they are not themselves convinced about any wrongdoing in the proposed deal.
They have urged the KAA officials to come clean on the ongoing negotiations with Adani Holdings on the JKIA takeover saying could impact freight businesses. They have expressed apprehensions that the deal could lead to job losses and bring in non-Kenyan workers as well as failure in honouring previous contracts and agreements.
The KUWA called on the government to scrap what it referred to as the “unlawful intended sale of JKIA to Adani Airport Holdings of India” and gave a seven-day strike notice which was issued last month in August.
Reacting to the protests, Kenya’s government has assured the protesting union that the interest of the country, its workers, and its citizens will be protected and ensured. It also noted that the airport is “not for sale” and that no decision had been made on whether to proceed with the proposed PPP to upgrade the hub.
While issuing the strike notice, KAWU Secretary General Moss Ndiema had said, “We shall reconsider our intention to engage in industrial action … only if the Adani Airport Holdings Limited’s deal is abandoned in its entirety.” He also reiterated a call for the entire KAA to resign.
Incidentally, on 3rd September, Congress leader Jairam Ramesh shared a three-week-old article to allege that massive protests are going on against Adani Group’s proposed takeover of JKIA airport. He argued that this could end up fueling anti-India sentiments in the African country and wane India’s global soft power.
Congress’ Communication’s in-charge, Jairam Ramesh wrote, “The Adani Group’s proposed takeover of the airport in Nairobi, Kenya, has led to widespread protests in the country, with the Kenya Aviation Workers Union calling for a strike to demonstrate its opposition. This is a matter of grave concern for India, because the non-biological PM’s friendship with Mr. Adani is now globally well known. The protests can therefore easily convert into anger against India and the Indian Government.”
He then went on to level the blame of social unrest and violent coups in India’s neighbourhood – Sri Lanka and Bangladesh – squarely on the Adani group and his alleged closeness with the Indian Prime Minister.
Jairam Ramesh targeted the Indian conglomerate saying, “In recent years, similar controversies around Adani projects in Sri Lanka and Bangladesh have undermined our national interest and contributed to bad outcomes for India. The Bangladesh Government’s contract to purchase power from Adani’s coal plant in Jharkhand, for instance, became a flashpoint in the protests that led to PM Sheikha Hasina’s resignation last month. Adani’s renewable energy projects in Mannar district in Sri Lanka were also embroiled in controversy and were a part of the widespread protests against the Sri Lankan Government in 2022.”
He concluded by alleging that PM Modi’s so-called collusion with the Adani group could diminish India’s global soft power.
The Adani Group’s proposed takeover of the airport in Nairobi, Kenya, has led to widespread protests in the country, with the Kenya Aviation Workers Union calling for a strike to demonstrate its opposition. This is a matter of grave concern for India, because the non-biological…
— Jairam Ramesh (@Jairam_Ramesh) September 3, 2024
While the Congress leader alleged that “widespread protests” are ongoing in Kenya against the Adani group’s proposed takeover of JKIA, ironically, the main body, KUWA, fueling the protest against the Adani Group has called off strikes multiple times. They have repeatedly stated that they want to read more about the deal to adjudge whether there is any irregularity in the proposed agreement.
However, while targeting the Indian conglomerate, the Congress leader failed to appreciate that the Indian firm had seemingly pipped China which has been in the game in Nairobi’s JKIA airport for decades.
For a long time, Chinese firms have been involved in JKIA’s development projects and have been eyeing every new project even after Beijing’s botched tenders causing major losses to the African nation.
Incidentally, Nation.Africa reported in June 2022, How Chinese firm pocketed Sh4.3bn for doing zero work at JKIA.
The report stated, “A Chinese contractor reportedly pocketed Sh4.3 billion of taxpayers’ money for doing zero work in a mega project at the Jomo Kenyatta International Airport that has infuriated MPs. The firm had won an Sh64 billion tender for the construction of Greenfield Terminal, which was cancelled in March 2016. There were claims that its cost had been inflated by up to Sh9 billion. President Kenyatta presided over the project’s ground-breaking ceremony, which cost the taxpayer Sh75 million on May 23, 2014.”
Additionally, according to an August 2024 Business Daily report, the Kenya Airports Authority (KAA) suffered a Sh4.2 billion net loss for the year to June 2023 as it was hit by a Sh5.4 billion payment to a joint venture of Chinese contractors. The payment was part of an out-of-court settlement over the cancellation of a tender to build a second terminal at Jomo Kenyatta International Airport (JKIA) nine years ago.
Naturally, after suffering heavy losses at the hands of Chinese firms and in the wake-drop of well-established knowledge of China’s debt trap strategy, Kenya’s government has seemingly looked the other way resulting in a possibility of the Indian conglomerate, Adani Group, pipping Chinese firms and getting India a strategic win over China in the fiercely fought battleground in the African continent.
Furthermore, it is pertinent to note that globalisation and FDI are bound to face protests, especially in countries that have faced economic and employment crises. Hence, protests against a foreign country’s firm over apprehensions of job losses, and the possibility arising of a compromise in the nation’s interest, among others, are a part and parcel trait of any democratic society, and upholding a nation’s sovereignty which can and should be resolved through transparency and amicable solutions through dialogue and discussion between stakeholders. However, ulterior motives and pro-Chinese entities fueling the ongoing protest in Kenya can’t be ruled out and the country should ensure that it meets its strategic goals despite all the hindrances.
As per reports, a large delegation of officials from Kenya has arrived in India to iron out the issues while the Adani Group has moved ahead and opened its Kenyan subsidiary for the proposed JKIA deal.
Nonetheless, Congress leader Jairam Ramesh is now receiving flakes for targeting the Indian conglomerate that has virtually defeated India’s major adversary, China which has been engaged in a territorial dispute and aggression for the better part of a century.
The Congress party has been struggling to muster a response to the dichotomy of Adani Group’s investment in BJP-ruled states vis-a-vis non-BJP-ruled states. It has been facing severe criticism for trying to attract investment from the Gautam Adani-owned firm while constantly deriding its investment in BJP-ruled states and other countries, alluding that the deal wreaks corruption. It has been accused of not backing the Indian firm in its quest to pip expansionist China in securing more strategic ports, and airports.
