The U.S. government, through the United States Agency for International Development (USAID), launched the five-year, $12-million Mongolia Energy Governance activity that will provide access to reliable electricity and facilitate sustainable and inclusive economic growth. USAID Mission Director for the Philippines, Pacific Islands and Mongolia Ryan Washburn formally launched the program during his inaugural visit to the country and was joined by U.S. Ambassador to Mongolia Michael Klecheski, Mongolia’s Minister of Energy Tavinbekh Nansal, Chairman of the Energy Regulatory Commission Tleikhan Almalik, and other key stakeholders.
Through the project, USAID will work with key government and private sector partners to improve planning and operational performance, guide planning for new infrastructure, enable greater market competitiveness and incentivize private investment through clear and transparent rules, and support increased adoption of modern clean energy technologies.
“USAID has a long history of supporting the energy sector in Mongolia, from providing emergency repairs to one of Ulaanbaatar’s key power plants in the early 1990s to assisting in the transition from a centrally-planned system to one that is market-based,” said Mission Director Washburn. “We are proud to continue this productive partnership with Mongolia to help increase self-sufficiency, foster an environment that will encourage private investment, and transition to cleaner sources of energy.”
Mongolia currently depends on imports from neighboring countries to supply approximately 20 percent of its electricity. A more competitive and financially sustainable energy sector will increase Mongolia’s economic competitiveness and create a more secure domestic energy supply. The project will help develop a more sustainable and self-reliant energy sector that will reduce fiscal pressures on the government.
USAID will also advance the use of clean alternatives to modernize the country’s energy sector to help improve air quality. Currently, the capital city of Ulaanbaatar suffers from poor air quality due to reliance on coal-fired power generation, coupled with the burning of raw coal in the city’s growing peri-urban ger districts. The activity will contribute to USAID’s Climate Change Strategy, which was launched on April 22, Earth Day. Abt Associates is USAID’s implementing partner for this activity.
For more than 30 years, USAID has worked with Mongolia to advance democratic development, facilitate sustainable, inclusive economic growth and solidify its path to greater independence and self-reliance.