Government of Mongolia Fast-tracks "Green" Resolution to Strengthen Energy Independence

ULAANBAATAR – In a strategic move to reduce fuel and energy dependency, the Government of Mongolia has approved the "Green" Resolution (dated April 29, 2026). The initiative aims to meet the rising electricity demand in the central region by leveraging domestic renewable energy sources and ensuring grid stability.

Under this resolution, the government is launching high-priority projects across five key locations, combining solar photovoltaic (PV) stations with Battery Energy Storage Systems (BESS).

Project Scope and Locations

The total projected capacity includes 220 MW of solar power and 440 MWh of battery storage. The locations were specifically selected based on their vulnerability to freezing risks during power outages or technical accidents:

Govisumber Province (Sumber Sum): 50 MW Solar / 30 MW (100 MWh) Battery

Dundgovi Province (Saintsagaan Sum): 50 MW Solar / 30 MW (100 MWh) Battery

Bulgan Province (Orkhon Sum): 50 MW Solar / 30 MW (100 MWh) Battery

Khentii Province (Kherlen Sum): 20 MW Solar / 15 MW (40 MWh) Battery

Övörkhangai Province (Kharkhorin Sum): 50 MW Solar / 30 MW (100 MWh) Battery

Execution and Financing

A notable shift in policy sees these projects being funded without state budget investment. To support national enterprises, the government has announced its first-ever competitive selection process (auction) in the renewable energy sector. The ministry emphasizes that the auction process is digital, transparent, and designed to eliminate conflicts of interest.

The Ministry of Energy posted the auction invitation on its website on May 7. Registration will close on June 15, with construction scheduled to commence by July 1, 2026.

Meeting Winter Peak Demand

On May 12, Prime Minister N. Uchral met with Ministry of Energy representatives to review progress. He stressed the importance of swift execution, urging officials to avoid bureaucratic delays and ensure the facilities are operational by December 1, 2026—ahead of the winter peak load.

"As a country with vast renewable energy potential, we must capitalize on this opportunity. We must prioritize rapid implementation over paperwork to meet our deadlines," the Prime Minister stated.

While the peak load of the energy system reached 1,800 MW last winter, it is projected to hit 1,950 MW this coming season. Once completed, these five provincial plants will provide 135 MW of renewable energy during peak hours, significantly bolstering the national grid's resilience.