Shellharbour will come alive during the two-day event, with a variety of events rarely seen in the Illawarra.

The popular Dragon Boat Challenge will be held on Saturday at Skiway Park, The Esplanade, Oak Flats, with the action to commence at 9am.

Festival of Sport secretary Diane Johnston said 27 teams representing businesses, community organisations and schools would paddle it out over the 200 metre course.

"The community is encouraged to come down and support the teams and cheer them on," Ms Johnston said.

Meanwhile, on Sunday the Shell Cove Walk or Run for Fun is hoping to break the 500-participant mark for the first time after going close last year.

"It is open to all people, young or old, and parents with prams are also encouraged."

The event begins and finishes at Freya Reserve - the main reserve on Cove Boulevarde - and travels through some of Shell Cove's scenic reserves.

Coffee and food stalls will be available, with entertainment by Woody, as well as a jumping castle for the children.

All participants will receive a free drink bottle, certificate of participation, piece of fruit and a chance to win a prize, and will be raising funds for the NSW Cancer Council and the Shellharbour Hospital Ladies Auxiliary Club.

Early-bird entry before the day is available for $10 (seniors) and $5 (juniors under 18), with a family of four (two adults and two children under 18) $25. Registration on the day is from 8am with the event starting at 9am. Entry on the day is seniors $15, juniors $10 and family $35.

To register, contact the Shellharbour Visitor Information Centre on 4221 6169 or download the entry forms from here.

Meantime, hundreds of the state's little athletes will descend on the Myimbarr Sports Complex at Flinders at the weekend for the NSW Little Athletics State Multi-Event Championships.

The championships, held in a different regional location each year, are being hosted by the Lake Illawarra Little Athletics Centre.