Energy sector strives to sustain its success to operate profitably

2017-05-16 15:17:46
Ulaanbaatar /MONTSAME/ Energy sector, which had always been running on losses, has been working profitably since 2015 and strives to sustain its current success, putting a goal to be an energy exporter country.

Energy Regulatory Commission Chairman A.Tleikhan made this statement during a Consultative Meeting of Energy sector’ officials held today, May 16. In 2016, the energy sector received subsidy of MNT15 billion from the state budget, however, the sector paid MNT200 billion in tax, running operation with a pure profit of MNT11 billion.

During the consultative meeting, the attendees discussed a report of 2016 and plans of 2017. This year, 250 MWt of extension is planned to be made for the combined power plant-3 and 50 MWt extension to Dornod Power Plant as well as 35 MWt extension works in Darkan and Erdenet power plants will progress further with an expected completion date in 2018.

“ – 50 MWt wind farm in Tsogttsetsii soum of Umnugobi aimag will come into operation in November. We are also working on financial solutions to start another 50 MWt wind farm in Sainshand of Dornogobi aimag” said Chairman of Policy Planning Department of Energy Ministry D.Chimeddorj.

According to him, infrastructure works for Eg River hydropower plant, which started in 2016, has been terminated temporarily due to a request from Russia, as it is considered to have a negative impact on the Baikal Lake ecosystem. “ – A study made together with a French company concluded that the hydropower plant would not impose a negative effect on the Baikal Lake ecosystem. But the Russian side was not engaged in the study, therefore, this year we will conduct an Environmental impact assessment of the project together with Russian scholars” said Mr D.Chimeddorj.

The Government action plan laid out to newly build hydropower plants in the Eg River and Khovd River and power plants of Tavantolgoi and Central region power plant and the projects are under a bidding process after the completion of their feasibility studies. The successful implementation of these projects will enable Mongolia to supply its energy completely from the domestic production. Furthermore, studies are underway to build power plants based on coal mines of Shivee-Ovoo, Tevshiin Gobi and Khashaat tsav, which will give a possibility to export energy.