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Energy Production and Infrastructure in Mongolia

Mongolia produces 80 percent of its energy needs domestically and imports the remaining 20 percent from Russia and China. The number of energy consumers has increased by 7-8 percent, and domestic energy production has increased by 6-7 percent. The expansions of Thermal Power Station IV, Erdenet, and Darkhan Thermal Power Stations have played an important role in meeting peak demand load in recent years.

The winter peak load of 2022-2023 reached 1,476 MW. To overcome the peak load of the coming winter, a battery will be built based on the “Songino” substation, and if necessary, talks will be initiated to purchase energy from China.

At the same time, the 300 MW “Buuruljuut” power plant will be put into operation in 2024, and it is expected to recover from the energy shortage in the same year. The completion of the Erdeneburen hydropower plant in Khovd province will create more than 100 permanent jobs, as well as the development of irrigated agriculture and eco-tourism, which will have many positive effects on the lives of local residents.

The annual energy consumption of the western region of Mongolia is 160 million kWh, of which 40 percent is produced by the “Durgun” Power Plant. About MNT 20 billion is spent on importing the remaining energy from Russia and China.

The Erdeneburen Hydropower Plant has a total capacity of 90 MW and can produce 360 million kWh of energy per year. When commissioned, the plant can fully supply the western region with energy and support the energy network of the central region. The construction of the Erdeneburen hydropower plant is expected to begin next summer.

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