IEEJ：August 2018 © IEEJ2018

ENERGY SECTOR OF MONGOLIA,COUNTRY REPORTJANARBAATAR JAMSRAN
Senior Specialist of Policy andPlanning Department

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CONTENT•General information•Reserves of Energy Mineral Resources•Current Energy Policy and Measures•Current Situation of Mongolian Energy Sector•Electric and Heat Demand Increase•Government action planIEEJ：August 2018 © IEEJ2018

1. General information

Area: 1.564 million square km
Population: 3,026,102.0(2016)Government Type: Semi-presidentialrepublicCapital city: Ulaanbaatar(approx. 1.2 million)
GDP:11,2 billion USD (2017)
GDP per capita: 3,651.1 USD
Real GDP growth: 1 % (2017)

Unemployment rate: 8%
Inflation: 6.7
Exports: 4.3 billion USD
Imports: 3.0 billion USD
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 Number of state households: 859106
 In capital city: 376 419 households
 Official language: Khalkha Mongol 90%(official), Turkic, Russian 10 %
 Official script: Mongolian Cyrillic,
Mongolian Script Ethnic groups: 96% Mongolians, 4%
Khazakhs

 Religions: Buddhist 53%, Muslim 3%,Christian 2.2%, Shamanist 2.9%, other
0.4%, none 38.6% (2010 est.)
 Lowest annual average temperature: 33°C (-50°C)

Chinggis Khaan

 Highest annual average temperature:+23°C (+35.8°C)
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Structure of Energy sector

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2. Reserves of Energy Mineral Resources
Coal Basins

COAL•

Key Mines•

Estimated total resources ~ 173 billion ton in
15 coal basins•Over 370 identified occurrence in 85 deposits•Nariin Sulhait•

Proven Reserves 12 billion ton, of which 2billion is coking coal•Tavan tolgoi•

Around 1/3 in Gobi Region•Around 1/3 in Eastern Region•Mines in Gobi area are for export /18 million in2013/

Mines in other region are for power production andhousehold heating /12 million in 2013/•Baganuur, Shivee-Ovoo, Shariin Gol,Aduunchuluun etc.,

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RENEWABLES•Rich resources of Solar, Windand Hydro in Mongolia:•Solar: 270-300 sunny days in ayear, 4.3-4.7 kWh/meter orhigher per day•

Wind: 10 % of the total landarea can be classified asexcellent for utility scale
applications, Power density 400600 W/m2, the resource could
potentially supply over 1100 GWof installed capacity.

•Hydro: Theoretical potential 6.2
GW, more than 1 GW of theseahs been identified

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3. CURRENT ENERGY POLICY AND MEASURESPRIORITY AREAS AND STRATEGIC GOALSSAFETY••

Transfer the state
dominated energy sector
into private based
competitive market
Support innovation andadvanced technology inenergy sector, andimplement conservation
policy•Ensure energy safety andreliable supply•

Develop mutually beneficial
cooperation with regionalcountries•

Develop a human resource

STATE POLICYON ENERGYEFFICIENCYENVIRONMENT•“State Policy on Energy” 2015-2030

Increase the production share of renewables andreduce negative environmental impact fromtraditional power generation and greenhouse9gas

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4. CURRENT SITUATION OF MONGOLIAN ENERGY SECTOR11

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CO2 EMISSION:GOVERNMENT ACTION PLAN 20162020

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Electricity tariff for residential№UnitTariffa Monthly consumption under 150 kWh

USA $/ kWh

0.041

b Monthly consumption over 150 kWh

USA $/ kWh

0.049

a Daytime consumption /06.00 am~21.00 pm/

USA $/ kWh0.043

and nighttime consumption / 21.00
b Eveningpm~ 06.00 am /USA $/ kWh

0.032

3USA $/ kWh

0.828

12Classification
Simple meter

Time use of meter /2 parts/

Monthly base tariff

Remark: Daytime, evening and nighttime tariff will apply duration of the meterhours.
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TARIFF FOR INDUSRIAL ELECTRICITY CONSUMPTION
The tariff (VAT excluded) for industrial electricity shall be determined dependingon the its classification of units of indicators as follows:№1Classification

UnitTariff

Mining industries
These : Coal mining exploration and cultivation
Oil and gas mining exploration and cultivation
Iron Mining exploration and cultivation

Other mining exploration and cultivation
1.1

Simple meter

1.2

Time use of meter /3 parts/

USA $/ kWh0.065

а Daytime consumption (06.00 am ~17.00 pm)

USA $/ kWh0.065

b Evining consumption (17.00 pm ~ 22.00 pm)

USA $/ kWh0.011

c Nighttime consumption (22.00 pm~06.00 am)

USA $/ kWh0.032 15

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5. ELECTRICITY AND HEAT DEMAND INCREASE16

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5. GOVERNMENT ACTION PLAN 2016-2020
Power Sector Main Objectives /Power Plant, Hydro, Renewables /Investment
Budget,million
USD

SourceExtend Capacity of CHP Plant #3 in Ulaanbaatar by 250
MW300

Government soft
loan

Extend Capacity of Choibalsan CHP Plant by 50 MW

90

Government soft
loan

Extend Capacity of Erdenet CHP Plant by 35 MW

54Government softloan

Tavantolgoi 450 MW Power Plant Project

2000

Private Investment
IPP

New Power Plant in Central region Project

2000

Private Investment
Concession

Eg 315 MW Hydro Power Plant

824

Government softloan

Khovd 260 MW Hydro Power Plant

824

Private Investment
Concession

Implement Solar Plant Projects, Sum-30 MW

60

Private Sector

9Implement Wind Farm Projects, Sum-100 MW

250

10Develop Solar heating in district heating in rural towns

20

Private Sector
State budget17
and17
Private Sector#Objective

1

Extend installedcapacity ofexisting
Combined Heatand Power Plants

2345

Build new Power
plants in centralregion

678

Increase share of
Renewable
generation

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Power Sector Main Objectives /Transmission lines, District heating, Efficiency /Investment#Objective

1112

Extend powertransmission
network1314
15

Renew heat
supply systems inprovince centers

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17
18
19
20

Enhanceefficiency andintroduce
advanced
technology

ActionBaganuur-Choir 220 kV 178 km OHTL and extension of
the substations
Baganuur-Undurkhaan 220 kV 202 km OHTL andsubstations

Budget,million
USD

Source40

Government softloan

Choir-Sainshand 220 kV 216 km OHTL and substations

55

Build new Heat Plant with centralized heating system in
10 province center

130

Government softloan
Government softloan
Government soft
loan

Rehabilitate district heating system in Darkhan city

2000

Government soft
loan

Improve efficiency if CHP#4 Plant of Ulaanbaatar

46

Expand SCADA system in Central Transmission System

8

Domesticate new voltage level in electricity distribution
networks

20

Built Semi-coke oven based on CHP#2 Plant in UB

15

Install 3 MW Heat Pump system based on cooling towerheat source of CHP#3 Plant in UB

1153

Government softloanState budget andCompany
Private sector andCompany
State budget andCompany
Private sector andCompany
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PLANNED PROJECTS19

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THANK YOUFOR YOUR ATTENTION

Contact :report@tky.ieej.or.jp