Mongolia: Promotion of the Northeast Asia Power System Interconnection
The knowledge and support technical assistance (TA) will support necessary analysis for the first step in realizing a Northeast Asia power system interconnection (NAPSI). It will build on a previous TA that developed an overall strategy to realize NAPSI and demonstrated its value. The strategy identified several steps to realizing NAPSI, the first of which has three components: (i) development of 5 gigawatts (GW) of solar and wind generating capacity in the South Gobi region of Mongolia, (ii) construction of a transmission interconnection between South Gobi and northern People's Republic of China (PRC), and (iii) construction of an undersea transmission interconnection between eastern PRC and the Republic of Korea (ROK). This TA will study the technical feasibility of this first stage, develop commercial structuring and sales arrangements considering local regulatory conditions, and quantify benefits that will accrue to each country.
Project Details
-
Project Officer
Cowlin, Shannon C.
East Asia Department
Request for information -
Country
Mongolia -
Sector
- Energy
| Project Name | Promotion of the Northeast Asia Power System Interconnection | ||||||
| Project Number | 54021-001 | ||||||
| Country | Mongolia |
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| Project Status | Proposed | ||||||
| Project Type / Modality of Assistance | Technical Assistance |
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| Source of Funding / Amount |
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| Strategic Agendas | Environmentally sustainable growth Inclusive economic growth Regional integration |
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| Drivers of Change | Governance and capacity development Knowledge solutions Partnerships Private sector development |
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| Sector / Subsector | Energy / Electricity transmission and distribution - Energy sector development and institutional reform - Renewable energy generation - solar - Renewable energy generation - wind |
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| Gender Equity and Mainstreaming | No gender elements | ||||||
| Description | The knowledge and support technical assistance (TA) will support necessary analysis for the first step in realizing a Northeast Asia power system interconnection (NAPSI). It will build on a previous TA that developed an overall strategy to realize NAPSI and demonstrated its value. The strategy identified several steps to realizing NAPSI, the first of which has three components: (i) development of 5 gigawatts (GW) of solar and wind generating capacity in the South Gobi region of Mongolia, (ii) construction of a transmission interconnection between South Gobi and northern People's Republic of China (PRC), and (iii) construction of an undersea transmission interconnection between eastern PRC and the Republic of Korea (ROK). This TA will study the technical feasibility of this first stage, develop commercial structuring and sales arrangements considering local regulatory conditions, and quantify benefits that will accrue to each country. The TA is included in the country operations business plan for Mongolia, 2020-2021. | ||||||
| Project Rationale and Linkage to Country/Regional Strategy | The Northeast Asia region accounts for 20% of global gross domestic product (GDP) but is responsible for approximately 40% of global greenhouse gas (GHG) emissions. Coal, natural gas, and oil supplied 70% of the region's electricity generation in 2018. Countries in the region are diversifying their energy mixes to replace fossil fuel generation with solar, wind, and hydropower generation, which contributes to improved air quality and reduced GHG emissions. The PRC is a global leader in renewable energy, accounting more than a third of global installed wind and solar electric generating capacity in 2019. However, many other countries in the region face challenges to further expand their use of renewable power due to (i) long distances between high-quality renewable energy resources and load centers, (ii) grid systems that are not sufficiently robust and flexible for integrating higher levels of variable renewable power, and (iii) land constraints that prevent domestic renewable expansion at levels required to reach climate mitigation goals. | ||||||
| Impact | Mongolia's objective to become an energy exporting country with efficient and environmentally friendly technology advanced | ||||||
| Outcome | Investment readiness of NAPSI Step 1 infrastructure components increased | ||||||
| Outputs | 1. NAPSI Step 1 Plan developed 2. Awareness of the potential scope and benefits of NAPSI among regional parties increased |
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| Geographical Location | Nation-wide | ||||||
| Summary of Environmental and Social Aspects | |
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| Environmental Aspects | |
| Involuntary Resettlement | |
| Indigenous Peoples | |
| Stakeholder Communication, Participation, and Consultation | |
| During Project Design | |
| During Project Implementation | |
| Business Opportunities | |
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| Consulting Services | A consulting firm and national consultants will be engaged during the implementation of the TA. |
| Procurement | No procurement is expected. |
| Responsible ADB Officer | Cowlin, Shannon C. |
| 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 | 16 Dec 2020 |
| Fact Finding | 15 Sep 2021 to 15 Sep 2021 |
| MRM | - |
| Approval | - |
| Last Review Mission | - |
| Last PDS Update | 11 Oct 2021 |
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