Since 2013, GGGI has been supporting the Government of Mongolia in the implementation of the National Green Development Policy and NDCs to the Paris Agreement. These include specific targets on improving the energy efficiency of heat and power generation, transmission and of the built environment which are reflected in Mongolia’s Energy Conservation Law. In March 2017, GGGI and the Energy Regulatory Commission of Mongolia (ERC) signed a Memorandum of Understanding which identifies four major areas of support to be brought by GGGI:

· Formulation of the National Energy Efficiency Action Programme 2018-2022 (NEEAP);
· Development of incentives for renewable energy, energy conservation, and energy efficiency;
· Preparation of bankable green energy projects, beginning with industrial energy efficiency; and
· Sharing and dissemination of institutional knowledge and experience.

On October 25 2017, GGGI and the ERC presented the final outcomes of the energy audits of a selected sample of 15 “Designated Entities”, Mongolian private and publicly owned organizations from various sectors, whom have in common a consumption of heat and, or electricity exceeding the threshold set by the government for conservation potential. PricewaterhouseCoopers (PwC), was missioned by GGGI and the ERC to carry out the following technical advisory services:

· Estimate the market per sector;
· Perform a gap analysis of Mongolia’s policy, regulatory, and financial framework;
· Develop a pipeline of pilot energy efficiency projects (15 projects in different sub-sectors); and
· Capacity development activities of local energy auditors.

The consolidated results of the assignment show that the recommended energy conservation measures will require a total of $58 million of capital investment with an expected project payback period up to 3 years. The energy efficiency improvements alone can help achieve an estimated reduction of 620 thousand tons of CO2 emissions.

Since Mongolia became a GGGI member country, GGGI provided technical assistance to the Government of Mongolia in the areas of energy systems analysis, public green building, green cities and national green development planning. Building upon this work, GGGI and the Government of Mongolia initiated the Transition to Green Development Project (Phase 1: 2015-2016, Phase 2: 2017-2018), supporting the implementation of the country’s green development priorities and contribution to climate action – particularly in the fields of renewable energy, energy efficiency, public building design, and climate finance.

Dr. Tleykhan, Director General of the ERC, highlighted that “The results of this project demonstrate that improved energy efficiency has huge potential of benefits not only in terms of economy, but also socially and environmentally. It will serve as a platform to delivering bankable projects in the energy sector – a next step we are looking forward to”. The development of a pipeline of bankable projects complements GGGI’s ongoing work on the establishment, capitalization, and operationalization of the Mongolian Green Credit Fund (MGCF) – a national financing vehicle dedicated to the channeling of climate/development finance to green projects. Key projects in the MGCF’s project pipeline, being developed by GGGI, include the implementation of energy efficiency improvements measures for these 15 “Designated Entities”.

Published Date:2017-10-31