The Mongolian government is committed to exploiting the country’s rich renewable energy resources to meet the rapidly growing energy demand, to improve energy security and to reduce dependence on electricity imports from Russia.
The Renewable Energy Law which was adopted in 2007 introduced a feed-in-tariff for wind power, currently set at USD $ 8-9.5 cents/kWh. The latest progress to promote renewable energy was the parliament’s approval of Mongolia’s National Green Development Policy, where share of renewable energy is targeted to reach 20% by 2020 and 30% by 2030 from its current level which is 5% (as of 2013). To meet these ambitious goal in the energy sector, Mongolian government has been working towards improvement of existing laws and regulations to address issues related to implementation of renewable energy. The total electricity production is expected to rise to 1700 МW, which means adding at least 400 MW of renewable energy by 2020. There are also discussions about making Mongolia’s vast RE resources available to a broader East Asian market hungry for clean electricity.
In the past two years, the government has signed seven PPAs for wind projects. Mongolia’s first wind project, the 50 MW Salkhit wind farm, came on line in the summer of 2013. As the industry starts to take off, the establishment of technical standards, a functioning market and system operator along with clarification of the legal framework have become necessary.
The key issues holding back investment in the sector concern priority dispatch, which is obliged by the renewable energy law, and grid curtailment. The lack of balancing power and flexible dispatch management make grid curtailment a critical challenge facing the sector.
The government is currently seeking solutions for these problems. While it has improved the curtailment situation, work needs to be done on how this is dealt with legally and contractually.
While the Ministry of Energy is working on implementation of the law and testing new technical solutions for the grid, it is an ideal time to transfer knowledge by showing best practice and technical solutions from mature wind markets who have dealt with similar problems. This would help boosting investment in the sector and meeting the objectives set in the renewable energy law.
International conference on "Scaling up Wind Energy in Mongolia" is to be held in Mongolia during June 4-5, 2015 at the Corporate Hotel & Covention Center, a high level workshop with the following objectives:
- To provide a platform for stakeholders, including The Ministry of Energy (MOE) and Electricity Regulatory Agency (ERA) and wind developers, to review the current status of the implementation of the Renewable Energy Law and its regulations, against the background of the first wind project having been operational for a year;
- To invite European grid companies and regulatory authorities to share experiences on how to implement priority access rules, introducing the grid code, its legal status and content and compensation for curtailment;
- To invite stakeholders from other established markets on finance of wind farms in these markets;
- To invite potential investors from Europe who are interested in investing in Mongolia.
The Mongolian government is committed to exploiting the country’s rich renewable energy resources to meet the rapidly growing energy demand, to improve energy security and to reduce dependence on electricity imports from Russia.
The Renewable Energy Law which was adopted in 2007 introduced a feed-in-tariff for wind power, currently set at USD $ 8-9.5 cents/kWh. The latest progress to promote renewable energy was the parliament’s approval of Mongolia’s National Green Development Policy, where share of renewable energy is targeted to reach 20% by 2020 and 30% by 2030 from its current level which is 5% (as of 2013). To meet these ambitious goal in the energy sector, Mongolian government has been working towards improvement of existing laws and regulations to address issues related to implementation of renewable energy. The total electricity production is expected to rise to 1700 МW, which means adding at least 400 MW of renewable energy by 2020. There are also discussions about making Mongolia’s vast RE resources available to a broader East Asian market hungry for clean electricity.
In the past two years, the government has signed seven PPAs for wind projects. Mongolia’s first wind project, the 50 MW Salkhit wind farm, came on line in the summer of 2013. As the industry starts to take off, the establishment of technical standards, a functioning market and system operator along with clarification of the legal framework have become necessary.
The key issues holding back investment in the sector concern priority dispatch, which is obliged by the renewable energy law, and grid curtailment. The lack of balancing power and flexible dispatch management make grid curtailment a critical challenge facing the sector.
The government is currently seeking solutions for these problems. While it has improved the curtailment situation, work needs to be done on how this is dealt with legally and contractually.
While the Ministry of Energy is working on implementation of the law and testing new technical solutions for the grid, it is an ideal time to transfer knowledge by showing best practice and technical solutions from mature wind markets who have dealt with similar problems. This would help boosting investment in the sector and meeting the objectives set in the renewable energy law.
International conference on "Scaling up Wind Energy in Mongolia" is to be held in Mongolia during June 4-5, 2015 at the Corporate Hotel & Covention Center, a high level workshop with the following objectives:
- To provide a platform for stakeholders, including The Ministry of Energy (MOE) and Electricity Regulatory Agency (ERA) and wind developers, to review the current status of the implementation of the Renewable Energy Law and its regulations, against the background of the first wind project having been operational for a year;
- To invite European grid companies and regulatory authorities to share experiences on how to implement priority access rules, introducing the grid code, its legal status and content and compensation for curtailment;
- To invite stakeholders from other established markets on finance of wind farms in these markets;
- To invite potential investors from Europe who are interested in investing in Mongolia.