Press Releases
Signing and Exchange of Notes Concerning Grant Aid to Mongolia “the Economic and Social Development Programme” (Provision of Equipment to Enhance Power System Reliability)
January 14, 2026
On January 14 (same day local time), in Ulaanbaatar, the capital of Mongolia, Mr. IGAWAHARA Masaru, Ambassador Extraordinary and Plenipotentiary of Japan to Mongolia, and H. E. Mr. Bold JAVKJLAN, Minister of Finance of Mongolia, signed and exchanged notes for “the Economic and Social Development Programme” for the provision of equipment to enhance power system reliability (grant provision of up to 500 million yen).
- Mongolia relies on imports of electricity from neighboring countries for approximately 20% of its domestic consumption. Meanwhile, electricity for the remaining domestic consumption is dependent on domestic coal-fired power generation. Thus, energy transition has become an urgent priority in the country.
- In order to introduce renewable energy with large fluctuations in power generation, equipment for inspecting and evaluating their effect on the power grid, and equipment for controlling such effect are indispensable. However, currently, there is a shortage of such equipment, which hinders the sustainable operation and maintenance of Mongolia's power grid infrastructure.
- This project is expected to promote the country's energy transition by providing equipment (mobile transformer test vehicles, real-time fully-digital power system simulators, etc.) for the stable and sustainable operation of power grid infrastructure, thereby improving the operation and maintenance capabilities of the country's power grid infrastructure, and by building a foundation for the introduction of renewable energy.
(Reference) Basic Data on Mongolia
Mongolia has an area of approximately 1,564,100 square kilometers (approximately four times the area of Japan), a population of about 3.54 million people (2024, the National Statistics Office of Mongolia), and a gross national income (GNI) per capita is 4,950 USD (2023, World Bank).