Salkhit Wind Farm will generate renewable electricity using wind power resources, with the output to be sold to the National Electricity Transmission Network (NETN) on the basis of a Power Purchase Agreement (PPA). The wind farm, the first independent power producer in Mongolia, with 31 wind turbines from the maker GE will have a total capacity of 50 MW and generate about 170 GWh of electricity per year.  As the Grid is dominated by thermal power generation, Salkhit Wind Farm will contribute to greenhouse gas (GHG) emission reductions, approximately 180,000 tonnes of CO2 equivalent (tCO2e) per year once the wind farm is fully operational, expected by mid-2013.

   The wind farm is located in the area called Salkhit Uul, which translates as “Windy Mountain”, about 70 km southeast of the capital Ulaanbaatar. As the very first wind farm in Mongolia the project will greatly assist the country in stimulating the commercialization of grid-connected renewable energy technologies and markets. Furthermore, the project will improve air quality and local livelihoods and promote sustainable renewable energy industry development. The Swedish Energy Agency engages in and financially supports the Salkhit Wind Farm through the acquisition of certified emission reductions under the regulatory framework of the United Nations Kyoto Protocol.

”In addition to the emission reductions, Salkhit Wind Farm’s contribution of renewable electricity to the Mongolian National Grid helps the country’s transformation towards a sustainable energy system”, says Ola Hansén, Head of the International Carbon Market Unit at the Swedish Energy Agency.

Enkh-Amgalan Sengee, CEO of Clean Energy LLC added: “Clean Energy LLC is very pleased to conclude this landmark agreement with the Swedish Energy Agency. This contract underlines that the project meets the highest sustainability standards and produces carbon credits which are attractive for buyers in the carbon market, even in these challenging times.”
 
Clean Energy LLC a renewable energy company focused on developing the first wind farm in the country – the 50 MW Salkhit Wind Farm Project. The company was established in 2004 through the investment by Newcom Group to survey potential wind power generation sites, eventually settling on Salkhit Mountain. It is now owned jointly by Newcom LLC, General Electric Pacific Pte Ltd, the European Bank for Reconstruction and Development (EBRD) and the Netherlands Development Finance Company (FMO). The project is under construction and expects commissioning in mid-2013.
 
The Swedish Energy Agency is responsible for the governmental CDM programme in Sweden. The Agency has been active since 2002 in participating and financing CDM and JI projects by acquiring emission reduction credits. The programme is focused on renewable energy and energy efficiency projects and aims at a broad geographical distribution of CDM projects, including least developed countries. At present, the Agency is engaged in approximately 70 projects and participates in seven multilateral CDM and JI funds, through which the Agency supports about 150 additional projects.

For further information please contact:

Bayarmaa Amarjargal                                                
Carbon Finance   Specialist,                                                      
Clean Energy LLC                                            
bayarmaa@cleanenergy.mn
Tel. +976 7011 1331
www.cleanenergy.mn                                           

Ola Hansén
Head of Programme - Swedish CDM and JI Programme, Swedish Energy Agency
ola.hansen@swedishenergyagency.se
Tel. +46 (0)16 544 22 12
www.swedishenergyagency.se