Financing energy efficiency for Mongolia’s NDC

Global electricity demand by electric motors and motor systems can be reduced by 20-30% by 2030 if adequate efficiency measures are deployed, according to United for Efficiency. To realize these savings, performance standards for key industrial equipment, including electric heat pumps and motors, need to be complemented by incentives to increase the adoption of energy management systems and improved information. As part of the NDC Action Projects work in Mongolia, a Climate Mitigation Financing workshop took place on 23 August to support country decision-makers and practitioners with essential information on policy and financial considerations to effectively implement energy efficiency measures with a focus on the use of electric motors and engines.

Drastic reduction of energy consumption

Mongolia is one of the three Asian countries under the NDC Action Project implemented by UNEP and the UNEP Copenhagen Climate Centre. Under its recent NDC update from 2020, energy efficiency in the industry sector is prioritized with three mitigation measures proposed by the Government:

• Improve the efficiency of electric motors of factories;
• Install the energy efficient lighting;
• Improve the consumption management.

A transition to energy efficient motor systems and lighting would drastically reduce Mongolia’s electricity consumption. Meeting the targets would help the country achieve close to 7% of NDCs related mitigation target.

Sharing lessons learned

The workshop was designed to allow stakeholders to pose questions, share concerns and challenges they’ve encountered, as well as experience they’ve obtained in implementing energy efficiency measures in meeting climate mitigation and clean energy goals. The workshop opened with speeches delivered by Sudhir Sharma, Regional Coordinator of the UNEP, and representatives of the Ministry of Environment and Tourism and the Energy Regulatory Commission of Mongolia.