On September 10, Prime Minister N.Uchral visited Uvurkhangai province, where the Government has decided to secure funding for the Arvaikheer Thermal Power Plant through the 2027 state budget and accelerate its completion under a public-private partnership.

The project is currently 45% complete, although construction had come to a complete standstill over the past year.

The Government plans to use dividends received from the Oyu Tolgoi project to fully complete thermal power plants in nine provinces.

Regarding the financing of Thermal Power Plant No. 6 in Ulaanbaatar, 30% of the project cost will be covered by the state budget, including Oyu Tolgoi dividend revenues, while the remaining 70% will be financed by the private sector.

Prime Minister N.Uchral said that energy-sector challenges would be addressed comprehensively once the 2027 state budget is approved. He also noted that construction of the Arkhangai Thermal Power Plant has not yet begun and therefore the project will be implemented through a public-private partnership.

For the first time, the Government has announced an open auction for renewable energy projects in five provinces. Private-sector companies are working to commission battery energy storage systems and solar power plants in December, ahead of the upcoming winter peak demand period.

Local authorities reported that a 50 MW solar power plant in Kharkhorin, Uvurkhangai province, is currently 45% complete.

The Prime Minister emphasized that the 2026 state budget amendment and the 2027 budget framework submitted by the Government to Parliament are intended to advance major development projects, deliver tangible results, and address the country’s energy-sector challenges.

Published Date:2026-09-22