• Adani Group operates eight airports in India and they are world class.
• The Adani proposal is shrouded in confusion and has been single-sourced
The Adani deal to take over JKIA had led to strikes and controversy.
Adani Group knows the airport business very well. It operates eight airports in India and they are world class. Adani also has the financial muscle to make the $2.5 billion investments to build a new runway, terminal and hotels
JKIA is overcrowded and is operating beyond its design capacity. It needs to be urgently upgraded and Adani could do that very well.
However, the Adani proposal is shrouded in confusion and mystery. It has not been transparently tendered.
There are many companies that could competently manage JKIA, including Ferrovial that owns Heathrow and runs multiple airports in the USA. KQ also wanted to take over Kenya Airports Authority to integrate and subsidise its operations.
Government could also borrow the money and get a top contractor to build a new runway and modernise JKIA although arguably that might be even more opaque than the Adani deal.
So, government should now consult widely and specify what it wants. It should then advertise internationally for a successful operator or contractor to deliver the expansion project that JKIA so badly needs. If Adani wins that tender, all well and good!
Quote of the day: "I could have saved thousands more - if only I'd been able to convince them they were slaves."
Harriet Tubman
The American abolitionist escaped from slavery on September 17, 1849