THE OFFICE OF THE PRESIDENT OF MONGOLIA, PUBLIC RELATIONS & COMMUNICATIONS DIVISION

www.president.mn

2014-06-26




SPEECH BY TSAKHIAGIIN ELBEGDORJ, PRESIDENT OF MONGOLIA, AT THE “DEVELOPING RENEWABLE ENERGY ACROSS GOBITEC AND ASIAN SUPER GRID IN NORTH-EAST ASIA” FORUM



Today “Developing Renewable Energy across Gobitec and Asian Super Grid in North-East Asia” Forum was held and President of Mongolia Tsakhiagiin Elbegdorj delivered opening remarks.
Good morning, Ladies and gentlemen.
Northeast Asian region includes Mongolia, Russia, China, Republic of Korea, DPRK, and Japan. In this context, we are going to discuss renewable energy issues, one of the current hot topics. Mongolia has certain initiative called “Gobitec” taken by the State. Mongolia aims to use of renewable energy sources of Gobi region to produce energy by active support of State. This initiative was discussed at the international level. Thanks to the effort of our researchers and policy makers this issue has drawn attention of international scholars and researchers.
Mongolian has huge potential of renewable energy and strategically located country. Mongolia has a great potential to become global port hub of renewable energy. We will make our best effort to implement this initiative. We are truly grateful to the East Asian countries, researchers and investors who are actively supporting our initiative. It is important that the authorities from the International Organization Energy Charter have arrived in Mongolia to discuss current issue with the representatives from East Asian countries.
Besides renewable energy, there is an opportunity to create super grid covering the Northeast the Asian countries. Researchers, experts and investors, representatives from international organizations and policy makers have gathered to discuss these two projects, which means they attach great importance to Mongolia.
Mongolia is learning to use renewable energy. Mongolia has high rating in usage of renewable energy per capita. Mongolia has implemented “100,000 Solar Ger” project since mid 1990s. There are many herder households in Mongolia living in remote areas. Therefore, Mongolia has started supplying rural households by renewable energy and “100,000 Solar Ger” project successfully implemented. Wind power projects were launched in Mongolia. Investors, business people and herder households are actively supporting and cooperating with these projects. There are almost no households in Mongolia that haven’t gained access to solar and wind power. Renewable energy projects are expanded to rural Soums, towns and provinces. Before, herders used to use solar power to watch television, lighting and charge cell phone. Now the demand for power from herders is increasing with higher capacity for use with additional devices and equipments such as refrigerators and washing machines. Our people really do understand the opportunities and advantages of renewable energy.
We have discussed issues related to Gobitec and Asian Super Grid quite a lot. In this field, reports and feasibility studies have been undertaken by our researchers and international organizations. There is an opportunity to implement this project. According to the financial and economic factors and international perspective, this project is not a dream. I am truly satisfied with the report that is approved this project is implementable.
Mongolia aims for renewable sources to account for at least 20 percent of power generation capacity by 2020. We have made our first step launching program and establishing legal environment. We have opened “Salkhit” 50 megawatt wind farm. This risky project was launched by a private investment which is the positive side. We must appreciate these people. Government should actively support and cooperate with them. Private investors face difficulties related to cost. For instance, China has implemented intensive and certain policy. China aims for renewable sources to account for 15 percent of power generation capacity by 2020.
Moreover, Mongolia aims to export electricity and bilateral agreements were signed by the Ministries and authorities of the two countries. The first Memorandum of Understanding was established. One in every five megawatts of electricity exported from Mongolia will be produced from renewable energy sector and we are set to cooperate. We have ample opportunities to cooperate in the development of renewable energy and investment of this sector.
Solar and wind energy has also some disadvantages. Solar panels are not producing energy at night. Wind turbines produce can only generate power when the wind blows. In this field we will cooperate with Russia. Russia has a wide practical experience of establishing hydropower plants and hydropower projects. It allows Russia to generate electricity with cheaper and competitive price. We will able to create sustainable energy network in Mongolia if Russia joins the Super Grid. It will be a good opportunity for Mongolia to join the Super Grid if Mongolia will generate as much electricity in the thermal coal plants. We are actively working on this.
I hope you will discuss these issues today. We have big opportunity to create sustainable energy network by combining energy sources including coal, solar, wind and hydropower. This is the global tendency and perspective.
Environment, renewable energy and global warming are the main topics to discuss at the United Nations meeting that will take place in September, 2014. Issues related to carbon footprint and global warming will be discussed. Over 130 heads of state and government gathered in Copenhagen, Denmark, to address these issues. According to the meeting, member states are working to implement certain rules and laws in next few years. It has good perspective. Positive legal environment will be established in the international arena. Financial incentives will be granted to those countries that successfully reduced carbon footprint and shifted to renewable energy. This issue will be discussed today.
There is a problem related to investment. I am happy to see that the representatives from Asian Development bank /ADB/ are here. Mutual trust and confidence will improve if ADB and other banks will join. Mongolia is ready to cooperate with other countries by establishing joint foundation to invest energy sources. We are glad that European countries and International Organization Energy Harti are making their effort to create common understanding. I hope that you will succeed in your endeavors. Mongolia will play leading role in this work.
I wish success in the work of the meeting.

At the same day, President Elbegdorj received Secretary General of the International Organization Energy Charter Urban Rusnak and exchanged views.