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Mongolia: Methane Gas Supply Chain Development Master Plan

Sovereign (Public) Project | 51285-001 Status: Active

The government requested ADB to support the study on the development of the country's first nationwide methane gas supply infrastructure development strategy. The knowledge and support technical assistance (TA) will support the country's policy (i) to mitigate air pollution in Mongolia, and (ii) to ensure the reliable, cleaner, and secured primary energy supply, by developing a methane gas supply infrastructure development strategy paper to switch primary energy resource from coal to cleaner methane gas.

Project Details

Project Officer
Sakai, Atsumasa East Asia Department Request for information
Country
  • Mongolia
Sector
  • Energy
 
Project Name Methane Gas Supply Chain Development Master Plan
Project Number 51285-001
Country Mongolia
Project Status Active
Project Type / Modality of Assistance Technical Assistance
Source of Funding / Amount
TA 9938-MON: Methane Gas Supply Chain Development Master Plan
Republic of Korea e-Asia and Knowledge Partnership Fund US$ 500,000.00
People's Republic of China Poverty Reduction and Regional Cooperation Fund US$ 500,000.00
Strategic Agendas Inclusive economic growth
Drivers of Change Governance and capacity development
Knowledge solutions
Partnerships
Sector / Subsector

Energy / Energy sector development and institutional reform - Oil and gas transmission and distribution

Gender Equity and Mainstreaming No gender elements
Description The government requested ADB to support the study on the development of the country's first nationwide methane gas supply infrastructure development strategy. The knowledge and support technical assistance (TA) will support the country's policy (i) to mitigate air pollution in Mongolia, and (ii) to ensure the reliable, cleaner, and secured primary energy supply, by developing a methane gas supply infrastructure development strategy paper to switch primary energy resource from coal to cleaner methane gas.
Project Rationale and Linkage to Country/Regional Strategy

Air pollution has been one of the most serious issues in Mongolia, posing serious public health risks. According to WHO, annual mean of particulate matter of less than 2.5 micrometers in diameter (PM2.5), one of air pollution level indicators, in the capital Ulaanbaatar city is 6-10 times higher than safe criteria of the WHO air quality guidelines. Ulaanbaatar, the country's capital with around half of the nation's population also suffer from the severe air pollution, especially in winter. The main causes are burning solid fuel, mainly raw coal and waste, in Ger areas (around 220,000 households) for heat and cooking purpose (80%). The Government of Mongolia approved the National Program for Reducing Air and Environmental Pollution in March 2017, setting the target to reduce air and environmental pollution by at least 50% by 2025.

Energy sector responds to the issue by switching the use of primary energy resource from coal to cleaner methane gas. Implementation Plan for the Government Action Plan 2016-2020 aims to develop a master plan for the country's first nationwide gas supply system, utilizing unconventional primary energy resources like domestic methane gas from coal reserve as well as possible import gas in future. Mid-term National Program 2019-2023 for the implementation of the State Policy on Energy sets one of its goals as _Ensuring reliable energy supply and security,_ aiming to assist the activities.

Impact

Air quality improved.

Reliable, and cleaner energy supply secured.

Project Outcome
Description of Outcome Readiness for investments in methane gas supply infrastructure increased.
Progress Toward Outcome A consulting firm has been contracted and mobilized its services. The firm organized a kick-off meeting with the government counterpart on 20 August 2020 and delivered the inception report.
Implementation Progress
Description of Project Outputs

1. Methane gas supply chain development strategy paper developed

2. Pre-feasibility study report of prioritized methane gas infrastructure project prepared.

3. Capacity development provided.

Status of Implementation Progress (Outputs, Activities, and Issues) A consulting firm has been contracted and mobilized its services. The firm organized a kick-off meeting with the government counterpart on 20 August 2020 and delivered the inception report.
Geographical Location Nation-wide
Summary of Environmental and Social Aspects
Environmental Aspects
Involuntary Resettlement
Indigenous Peoples
Stakeholder Communication, Participation, and Consultation
During Project Design
During Project Implementation
Responsible ADB Officer Sakai, Atsumasa
Responsible ADB Department East Asia Department
Responsible ADB Division EASI
Executing Agencies
Ministry of Energy
Government Building 14, Khan-Uul District
Chinggis Avenue, 3-r khoroo
Ulaanbaatar, 17060 Mongolia
Timetable
Concept Clearance 29 May 2019
Fact Finding 23 Oct 2019 to 25 Oct 2019
MRM -
Approval 26 Dec 2019
Last Review Mission -
Last PDS Update 29 Mar 2021

TA 9938-MON

Milestones
Approval Signing Date Effectivity Date Closing
Original Revised Actual
26 Dec 2019 25 Jan 2020 25 Jan 2020 31 Jan 2022 - -
Financing Plan/TA Utilization Cumulative Disbursements
ADB Cofinancing Counterpart Total Date Amount
Gov Beneficiaries Project Sponsor Others
0.00 1,000,000.00 0.00 0.00 0.00 0.00 1,000,000.00 26 Dec 2019 137,000.00

Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.

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Safeguard Documents See also: Safeguards

Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.

None currently available.

Evaluation Documents See also: Independent Evaluation

None currently available.

Related Publications

None currently available.


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Tenders

Tender Title Type Status Posting Date Deadline
Feasibility Study on Methane Gas Supply Chain Development Master Plan Firm - Consulting Closed 11 Feb 2020 18 Mar 2020

Contracts Awarded

Contract Title Approval Number Contract Date Contractor Contractor Address Executing Agency Contract Description Total Contract Amount (US$) Contract Amount Financed by ADB (US$)
Policy and Advisory Technical Assistance 9938 08 Jul 2020 HJI GROUP CORPORATION(UNITED STATES) in association with RICHWELL ENGINEERING LLC(MONGOLIA) 3200 Park Center Drive, Suite 1180 Costa Mesa, CA 92626 USA Ministry of Energy 843,000.00

Procurement Plan

None currently available.