The Government of Mongolia and the Asian Development Bank (ADB) are jointly implementing new projects to increase renewable energy sources in the western region of Mongolia.

Specifically, energy storage stations have been constructed and commissioned to connect solar and wind power plants with a total capacity of 40.5 MW to the Altai-Uliastai energy system. Moreover, a 5 MW solar power plant constructed in Uliastai generated about 18 million kW of electricity over the past two years. Due to the collaboration of the Government of Mongolia with the ADB, 10 MW solar power plants are operating in Yesunbulag soum, Gobi-Altai aimag, and Murun soum, Khuvsgul aimag, while a 0.5 MW hybrid system has been installed in Altai soum, Gobi-Altai aimag, which are all generating stable electricity. Furthermore, a 135 kW ground-based heat pump system has been installed to cover the heat supply of Kindergarten No. 1 in Jargalant soum, Khovd aimag, which serves as an environmentally-friendly and energy-efficient solution by reducing coal consumption and carbon emissions.

Project coordinator and engineer B. Sugar emphasized, “As part of the projects to increase renewable energy sources in remote areas far from the Central Energy System implemented by the Government of Mongolia and the Ministry of Energy, solar power plants are being built and put into operation with the concessional loans from ADB. These power plants serve as the second largest energy source of the country, generating 17.2 million kWh of electricity annually and providing clean energy to the residents of the western region.”

Could you introduce the technology that utilizes geothermal energy in the western region? What makes it a distinctive energy source?

Ground temperature increases with depth. For example, the temperature rises as we drill 2-3 km deeper. In general, the soil heat is about 2-5 degrees Celsius, however, the soil does not release or store heat. Therefore, to absorb the heat, a heat-conducting object should be inserted into the ground. Afterward, the object is put into a fluid to be boiled at a certain temperature. The efficiency of this process depends on the heat pump and absorption pressure. Heat condensed at 40-50 degrees Celsius is used for heating buildings. Basically, the initial cost, expenses, and investment for this technology are high.

This technology seems important as it abolishes the traditional brown energy. How could this technology be further improved?

Geothermal energy is already being utilized in several areas in Mongolia, including residential areas like the “ASEM Villa,” near Dulguun Nuur and Nogoon Nuur, as well as in Tuv aimag. In some areas, the system is working well, but in our conditions, there is a high risk of freezing. Currently, pilot projects are being implemented in the western region.

In addition to the projects in the western region, the Government of Mongolia and the Asian Development Bank are collaboratively implementing a Project on the “Large-Scale Energy Storage for Grid Use.” The total cost of this Project amounts to USD 114.95 million, of which:

USD 100 million- concessional loans from the ADB;

USD 3 million- grant aid from the ADB- USD;

USD 11.95 million- allocations from the Government of Mongolia.

With the Large-Scale Energy Storage project implemented, about 20 thousand households in the Capital city will be prevented from electricity shortages during peak hours.

Under the Project, 51.1 million kWh of electricity was supplied to the Central Energy System through the Songino substation from December 2023 to October 2024. According to Project Coordinator M. Naranbat, the Large-Scale Energy Storage, with a capacity of 80 MW/200 MWh, will be installed and operated in the 32nd khoroo of Songinokhairkhan district by December 2024.