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Raila Odinga faces backlash from Kenyans over defense of Sh 1 trillion Adani Group agreements

ODM leader Raila Odinga. PHOTO/UGC.

By JAMES KARIUKI

newshub@eyewitness.africa

Kenyans reacted with anger and astonishment on learning that ODM leader Raila Odinga had defended the Sh 1 trillion controversial deals the government had entered into with the Adani Group.

Turning to social media networks, the angry Kenyans called the ODM leader names and with some even expressing their support for his main contender for the African Union Commission (AUC) chairmanship; Djibouti’s Mahamoud Ali Youssouf.

On X social media platform, formerly Twitter Raila was trending at number two after Adani with more than 52,000 people expressing their disgust with his position on the Adani Group.

And a section of ODM supporters expressed their fears that Raila’s support of the controversial Adani deals linked to India’s controversial businessman Gautam Adani, of Adani Group, could end up destroying him politically.

On Sunday, during a press conference in Mombasa, Raila hdefended the government for engaging the Adani Group in various development projects.

While Kenyans have questioned the processes leading up to Adani’s potential involvement, Raila is now defending the company’s credibility, citing firsthand experience with their projects in India.

The government on Friday inked a contentious power transmission agreement worth $736 million (Sh95.68 billion) with Adani Energy Solutions Ltd. 

The deal, finalised on October 9, will allow Adani Energy Solutions to develop, finance, construct, operate, and maintain crucial transmission lines and substations across Kenya, Energy Cabinet Secretary Opiyo Wandayi, announced last Friday.

Government critics say the multi-billion deals secretly awarded to the Adani Group by Kenya’s ministries of Health, Energy and Transport are part of deals by the Kenya Kwanza Government to raise a war-chest for 2027 presidential election given the involvement of people close to President Ruto in the mega-deals.

ODM insiders warn that the emerging Adani Group scandals could end-up tainting ODM leader Raila Odinga’s reputation as his key allies Opiyo Wandayi (Energy CS) and John Mbadi (Treasury CS) are at the centre of the Adani Group controversy.

The multi-billion deals involving the Adani Group includes the Sh 104.8 billion Social Health Insurance Fund’s (SHIF) integrated healthcare information technology system contract, the Sh 258 billion Jomo Kenyatta International Airport (JKIA) privatization contract and the Sh 650 billion Ketraco power transmission infrastructure tender and now the Sh95.68 billion with Adani Energy Solutions Ltd.

The political analysts say history could repeat itself like what happened during Raila’s father Jaramogi Oginga Odinga, active politics in 1990 during the Goldenberg scandal that emerged during former President Daniel arap Moi’s regime when he accepted that he met the Goldenberg scandal mastermind, Kamlesh Pattni, who ended up supporting his then presidential ambitions by donating Sh 20 million for his campaigns.

Jaramogi’s admission that his Ford Kenya party accepted a Sh 20 million donation from Kamlesh Pattni, linked to the Goldenberg scandal, significantly tarnished his political reputation and undermined his presidential ambitions during President Daniel Arap Moi’s regime.

This revelation fueled internal dissent within Ford Kenya, leading to resignations of key figures who criticized Jaramogi’s acceptance of funds from a controversial source tied to massive corruption. The scandal not only damaged his credibility but also weakened Ford Kenya’s position against the ruling KANU party, which exploited these divisions to maintain its grip on power.

The scandal fueled internal dissent within Ford Kenya, leading to the dismissal of Secretary-General Gitobu Imanyara and the resignation of Vice-Chairman Paul Muite. They criticized Jaramogi for accepting funds from a controversial source tied to massive corruption. 

This exposed underlying divisions over Jaramogi’s leadership and handling of political violence. The scandal not only damaged Jaramogi’s credibility but also weakened Ford Kenya’s position against the ruling KANU party.

The revelation of the Goldenberg-linked donation severely damaged Ford Kenya’s internal cohesion, eroded public trust in Jaramogi, and allowed KANU to capitalize on the opposition party’s weakened state. It marked a major setback for Jaramogi’s political aspirations during that period.

It has to be noted that in 1993, Jaramogi, then leader of the Ford Kenya party, visited the Turkwel Dam, which had been criticized as  “white elephant” after consuming billions in donor funds.

Upon seeing the dam, he remarked on its potential, calling it “one of the wonders of the world.” He acknowledged the skepticism surrounding its initial costs, which ballooned from KSh 4.5 billion to nearly KSh 20 billion, yet he envisioned it transforming lives in the impoverished Pokot and Turkana regions through its hydroelectric power capabilities.

Initially, Jaramogi had criticized the Turkwel Dam primarily for its exaggerated costs and lack of profitability. Initially projected to cost KSh 4.5 billion, it ballooned to nearly KSh 20 billion, raising concerns about financial mismanagement and corruption that led donors to freeze aid.

Jaramogi also highlighted the failure to benefit local communities, as the dam did not achieve its intended goals of improving livelihoods and reducing conflict between the Pokot and Turkana people, which persisted despite the project’s completion.

Before Raila agreed to work with President Ruto under what they term as a broad-based government, he Raila himself, Mbadi and Wandayi had been major critics of the Adani Group projects.

Before his appointment as Cabinet Secretary, Wandayi had criticized the Adani Group’s proposed projects siting lack of transparency and accountability.

On his part, before his appointment as Cabinet Secretary for Treasury, Mbadi was critical of the Adani Group’s involvement in the Jomo Kenyatta International Airport (JKIA) project.

He called for scrutiny while in opposition, particularly regarding the lack of transparency in awarding the upgrade contract to Adani despite other companies expressing interest.

Now Mbadi has struggled to justify the government’s decision on the Adani Group’s projects, leading to accusations of “gatekeeping” for Adani and raising concerns about potential conflicts of interest and the implications for Kenya’s economy.

Raila on his part, Raila initially expressed skepticism about the Adani deals, particularly criticizing the acquisition of Jomo Kenyatta International Airport.

He described these deals as potentially harmful, drawing parallels to past controversial agreements like Goldenberg and Anglo Leasing, which seemed beneficial but had negative outcomes for Kenyans.

Despite his criticism, Raila later entered a political arrangement with President Ruto, which led to mixed reactions within his party and among supporters.

Raila’s initial skepticism regarding the Adani deals has significantly influenced his political alliances. His criticism of these deals, particularly concerning their potential harm to Kenyans, contrasted sharply with his later partnership with President Ruto.

This alliance has led to divisions within his ODM party and Azimio coalition, with some members feeling betrayed and questioning Raila’s motivations. As a result, factions have emerged, complicating the political landscape and potentially weakening the opposition ahead of the 2027 elections.

Raila’s stance on the Adani deals could have significant long-term impacts on his political career. His initial criticism may alienate some supporters who view his later alliance with President Ruto as a betrayal, potentially fragmenting his voter base and weakening the Azimio coalition.

Additionally, if Raila successfully transitions to a role at the African Union, it could diminish his influence in Kenyan politics, leading to a leadership vacuum within his party and complicating future electoral strategies. This shift may ultimately reshape Kenya’s political landscape ahead of the 2027 elections.

Regarded as the doyen of Kenya’s opposition politics after his father Jaramogi, Raila’s stance on the Adani deals could significantly affect his legacy.

Initially viewed as a champion of reform, his later alliance with President Ruto has led to perceptions of betrayal among supporters, particularly the youth. Critics argue that this shift undermines his moral authority and long-standing reputation as a pro-democracy leader.

If he successfully transitions to a role at the African Union, it may diminish his influence in Kenyan politics, potentially fracturing the opposition and altering the political landscape. Ultimately, how he navigates these challenges will define his legacy in Kenyan history.

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EYEWITNESS AFRICA is a news website that spotlights human rights violations, transparency and accountability, democracy and good governance, gender equality, environmental degradation and conservation, climate change and biodiversity loss, deforestation and pollution, diminishing glaciers and mangrove forests, wildlife poaching and trafficking, illegal fishing, and general stories that highlight public interest issues that aim to spark reforms.