Kuwait Launches Bidding For 500 MW Al Dibdibah–Shagaya Phase III Solar Project

Kuwait has officially opened bidding for a 500 MW solar photovoltaic project, the Al Dibdibah Power and Al Shagaya Renewable Energy Phase III – Zone 2, marking another step in the country’s push for clean energy expansion. The tender was issued jointly by the Kuwait Authority for Partnership Projects (KAPP), the Ministry of Electricity, Water and Renewable Energy, and the Kuwait Institute for Scientific Research. The project is planned within the Shagaya Renewable Energy Park, located in Jahra Governorate, a key hub for Kuwait’s renewable energy initiatives.

The Request for Proposal (RFP) was released and circulated to six pre-qualified consortiums and three individual companies. Interested bidders are required to submit their proposals by 12 noon Kuwait time on 16 February 2026. The project is structured to operate under a 30-year Power Purchase Agreement with the Ministry of Electricity, Water and Renewable Energy as the designated offtaker, ensuring long-term stability and guaranteed offtake for the generated solar power.

This Zone 2 project is part of a broader Phase III solar development at Shagaya. Earlier, KAPP had extended the deadline for the Phase III – Zone 1 solar IPP, a larger 1,100 MW project, to 15 January 2026. That tender, initially issued on 15 June 2025 to four consortiums and two companies, had its original submission date set for 14 September 2025. These successive tenders reflect Kuwait’s methodical approach to scaling up renewable energy capacity through structured competitive bidding and long-term power agreements.

The Al Dibdibah–Shagaya Phase III – Zone 2 solar project represents Kuwait’s continued efforts to diversify its energy mix and strengthen sustainable electricity generation. By engaging multiple pre-qualified bidders, the tender encourages competitive pricing and innovative solutions for solar power deployment. The project will contribute significantly to the country’s clean energy targets while ensuring a reliable electricity supply to meet domestic and industrial demand.

Through initiatives like these, Kuwait is steadily moving toward reducing its reliance on fossil fuels and increasing the role of renewable energy in its national grid. The combination of Shagaya’s solar potential, long-term power purchase guarantees, and the involvement of experienced international and local companies positions this project to be a major milestone in Kuwait’s renewable energy roadmap. With proposal submissions scheduled in February 2026, the project is expected to accelerate the country’s transition to sustainable energy generation and reinforce its position as a growing hub for solar development in the Gulf region.