The South Sabah Al Ahmad Project continues to progress as Kuwait expands large-scale housing infrastructure. Meanwhile, the Public Authority for Housing Welfare (PAHW) drives multiple construction packages across roads, utilities, and residential districts. Consequently, the project strengthens Kuwait’s long-term housing delivery strategy.
The development targets around 280,000 residents. Additionally, it integrates housing units, transport systems, and essential public infrastructure. Therefore, it remains one of Kuwait’s key urban expansion programmes.
South Sabah Al Ahmad Project gain momentum in 2026
PAHW continues to advance construction works across the South Sabah Al Ahmad Project. In 2026, it awarded new contracts for high-voltage underground transmission cables. These works support four major substations within the city.
Moreover, the authority confirmed steady progress on the main roads package. Contractors have completed over 75% of the works. As a result, internal mobility infrastructure is nearing advanced stages.
In addition, residential district works continue across multiple zones. These include water networks, sewage systems, irrigation lines, and electrical infrastructure. Consequently, utility readiness continues to improve.
Utility expansion strengthens delivery of South Sabah Al Ahmad Project
PAHW awarded a KWD 90.1 million infrastructure contract covering several residential districts. The contractor executes roads, drainage systems, and utility corridors.
Furthermore, power infrastructure development continues in coordination with the Ministry of Electricity, Water and Renewable Energy. This coordination ensures grid readiness for future housing occupancy.
Meanwhile, cable installation contracts worth KWD 36.5 million support the city’s transmission backbone. These works enhance long-term energy reliability.
South Sabah Al Ahmad Project outlook remains positive
Construction activity is expected to continue through 2026 and beyond. Therefore, PAHW maintains focus on phased delivery of residential and infrastructure packages.
Additionally, the South Sabah Al Ahmad Project aligns with Kuwait’s wider development agenda. It also connects to major national industrial investments such as the Al-Zour petrochemical expansion under new management.
Consequently, the project continues to strengthen Kuwait’s housing capacity and urban development pipeline.
In total, the contract is worth $367 million and will create over 145,000 jobs. Especially, in a diverse range of industries. These include the medicine, culture, construction as well as manufacturing industries.
The South Sabah Al Ahmad Project in Kuwait City spans an area of 61.5 kilometers squared. It will feature ten neighborhood clusters, that have been arranged around the city’s central business districts. In addition, it will be bordered by a ring of light industrial buildings.
Furthermore, the development will boast extensive green open spaces. Alongside, a multi-layered public transport system that strives to promote well-being and sustainability.
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More on the South Sabah Al Ahmad Project in Kuwait City
The scope of the project includes the construction, completion as well as maintenance of the main road works for the city. Moreover, it also includes the provision of infrastructure services. In addition to the setting up of rainwater tanks.
As a whole, the project will potentially serve as the urban core for Kuwait’s southern sub-region. Furthermore, it will be home to approximately, 280,000 residents. Within the next three years, the entire project plans to have completed construction works. By design, the city will be sectioned into five areas; A, B, C, D, and E.
Quite impressively, each area will range between 300 to 450 hectares. Moreover, Section A will be sub-sectioned into an additional five blocks; A1, A2, A3, A4, and lastly, A5.
Project Fact Sheet
Project Name: South Sabah Al Ahmad Project
Location: Southern Kuwait
Developer: Public Authority for Housing Welfare (PAHW)
Project Type: Large-scale residential city development
Target Population: Approximately 280,000 residents
Site Area: About 61.5 km²
Main Components: Housing districts, roads, utilities, substations, water systems, sewage systems, irrigation networks, public facilities
Main Roads Contract Value: About $367 million
Infrastructure Contract Value: KWD 90.1 million
Power Cable Contracts: KWD 36.5 million
Current Status: Under construction (2026)
Delivery Approach: Phased completion across packages
Project Team
Project Owner: Public Authority for Housing Welfare (PAHW)
Main Roads Contractor: Kuwait Arab Contractors
Residential Infrastructure Contractor: AVIC International Holding Corporation
HV Cable Contractor (Substations 1Z & 4Z): TBEA Shandong Luneng Taishan Cable Co. Ltd
HV Cable Contractor (Substations 2Z & 3Z): EGYTEK Cables LLC (Elsewedy Electric Group)
Power Authority Partner: Ministry of Electricity, Water and Renewable Energy (Kuwait)
Project Supervisor: Public Authority for Housing Welfare (PAHW)
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