In November 2023, Mongolia skilled days of intermittent vitality shortages. To handle the vitality demand and stop energy outages, Mongolia’s Power Regulation Committee imported extra vitality from Russia and requested individuals to observe energy-saving practices. In 2024, vitality consultants and Mongolia’s world companions are urging the Mongolian authorities to prioritize the vitality sector.
On December 4, after just a few days of electrical energy shortages, the Power Regulation Committee launched a utility report monitoring the earlier week’s vitality utilization. It highlighted a peak load of 1493 megawatts (MW) on November 30. In the meantime, vitality imports reached 311 MW. Furthermore, in evaluating December 3 to the earlier 12 months, vitality utilization had elevated from 1421 to 1432 MW, whereas imports rose from 290 to 293 MW.
The final month has illustrated Mongolia’s vitality vulnerability however what upsets the general public much more is the Mongolian authorities’s — present and former — extended poor decision-making, unpreparedness, and incapability of implementing beforehand proposed or deliberate vitality growth initiatives to enhance the scenario.
In an interview with Bloomberg Mongolia, economist Khashchuluun Chuluundorj highlighted many years of failed vitality insurance policies. He stated, “Even ten years in the past, Mongolian policymakers had the prognosis of accelerating vitality demand. There have been many mission proposals and plans, however sadly, none of them have been carried out.” Furthermore, “previously 8 years, there hasn’t been any enchancment within the vitality sector and the Mongolian authorities must prioritize the vitality sector in 2024.”
To many Mongolians, vitality shortages and energy outages usually are not new issues. Nonetheless, this doesn’t imply the nation’s 3.4 million individuals ought to be complacent with underdevelopment.
The latest vitality scarcity additionally stresses Mongolia’s excessive dependence on Russia’s vitality provide. It’s a wake-up name for Mongolian policymakers to take daring motion to diversify vitality sources, speed up renewable vitality manufacturing, and make it doable for overseas buyers to put money into the nation’s vitality sector.
On December 13, Mongolian Minister of Power Choijilsuren Battogtokh introduced Russia’s intent to scale back vitality provide to Mongolia by half. He stated, “Consequently, it won’t be doable to obtain greater than 150 MW of vitality from Russia. The rationale behind this choice is Russia’s goal to prioritize its home vitality safety by lowering vitality exports. As a part of the plan, there can be a three-hour day by day electrical energy lower in Ulaanbaatar metropolis, six provinces, and 150 soums which might be a part of the central built-in vitality system.”
Adopted by a number of conferences, the Cupboard Secretariat of Mongolia launched a statement that reads, “Alexander Alexandrovich Kozlov, the Head of the Russian a part of the Intergovernmental Fee of Mongolia and Russia, has introduced that there can be no restrictions on electrical energy provided from Russia to Mongolia within the close to future.” And that “the intergovernmental fee of the 2 nations will proceed to work on this problem, guaranteeing the sleek provide of electrical energy. With the intention to guarantee this, Prime Minister L. Oyun-Erdene of Mongolia has instructed Deputy Prime Minister and Minister of Financial Growth Ch. Khurelbaatar and Power Minister B. Choijilsuren to take all mandatory measures.”
Mongolia’s vitality sector writ giant is straight linked to Moscow’s vitality capability. If and when Moscow decides to prioritize its personal home wants, Ulaanbaatar should make use of a sustainable vitality technique that meets the present vitality demand but in addition secures the long run.
For many years, Mongolian policymakers have blamed Russia for controlling Mongolia’s vitality sector. Nonetheless, Russia or some other overseas actors usually are not answerable for renewing, or modernizing Mongolia’s energy vegetation or diversifying vitality sources. It has turn out to be clear that the Mongolian authorities, together with earlier administrations, has lengthy did not prioritize vitality and that’s the root reason behind the issue.
Mongolia’s dependency on coal-based vitality has been the supply of political, social, and well being issues. The nation’s “coal-fired mixed warmth and energy (CHP) vegetation constituted 93 p.c of whole energy era within the nation’s Central Power System (CES), which accommodated greater than 80 p.c of the home demand.” Renewable vitality initiatives and initiatives have been supported by worldwide companions.
Since 2018, the Asian Growth Financial institution (ADB) has supported a number of renewable vitality initiatives by offering soft loans, and commissioning off-grid renewable hybrid vitality methods in Altai province. In September, the ADB and the Mongolian authorities launched a grid-connected photo voltaic photovoltaic energy plant in Altai. Along with the ADB and Japanese investment in renewable vitality initiatives, European companions have proven assist for Mongolia’s vitality diversification course of.
Additionally in September, the European Union delegation in Mongolia released an energy report, “Why the Transition to Renewable Power Ought to Matter to Mongolia and Mongolians” highlighting the nation’s potential in renewable vitality. The report, in essence, aimed to inspire the Mongolian authorities to pay nearer consideration to its vitality sector but in addition drew practical, implementable examples from Eire, Uzbekistan, and Australia as case research. Furthermore, in a latest interview with The Diplomat, U.Ok. Ambassador to Mongolia Fiona Blyth stated she views it as the right time for Mongolia to diversify its vitality sources, whereas there may be a lot assist accessible.
In response to the worldwide demand for clear vitality and demanding minerals, Mongolian policymakers have been lively however there may be room for enchancment. Mongolia’s dedication to the Paris Agreement and the U.N. Climate and Clean Air Coalition 2030 are carefully linked with Ulaanbaatar’s pursuit of reinvigorating its vitality sector. For these mega initiatives to achieve success and fruitful, Mongolia should sort out corruption and strengthen the nation’s investor profile.
As Ulaanbaatar continues to hunt outward-led overseas coverage, funding in renewable and clear vitality applied sciences is essential. Whereas Mongolia’s dedication to world initiatives is essential in the long term, fulfilling home vitality wants and securing vitality safety is a urgent problem for present and future governments. The at present positioned energy-saving strategies may fit within the brief run. Nonetheless, a strategic vitality plan, a cohesive technique that improves the nation’s vitality sector has turn out to be a dire necessity.