MN17 Energy Performance Contracting for Residential Retrofitting in Ulaanbaatar City

At a Glance

Strategic Outcomes SO1 Reduced GHG emission
Start Date Q1  Jan 1 2020
End Date q3 Jul 15 2021
Funding Source Earmarked
Actual Budget (USD) 429,096
Budget Percentage 53%
Actual Expenditure (USD) 243858.03
Status Active
GGGI Share (USD) 0
Poverty and Gender Policy Markers
Name of Client (Lead/Prime implementer if GGGI is part of a consortium) Municipality of Ulaanbaatar City
Participating Organization (Funding/donor) NAMA Facility
Name of consortium members, if any ICLEI East Asia Secretariat, GIZ - German Corporation for International Cooperation
Thematic Area
  • Green Cities
  • Sustainable Energy
GGGI Project Code : MN17
Project Manager and Staff +
Batzaya Bayasgalan

Green Investment Officer, Mongolia

Annaka Marie Peterson

Country Representative, Mongolia

Tumurbaatar Enkhtur

Project assistant

Project Overview

Low energy efficiency (EE) of old precast buildings is a major reason for Mongolia’s high GHG emission per capita. In In the capital of Mongolia, 1,077 residential building blocks (over 500 buildings) were constructed between 1960-1990. These multi-family, residential buildings have uninsulated exterior walls, partially insulated roofs, wooden PVC framed double-glazed windows with high heat losses. The precast buildings represent 30% of the building stock in Ulaanbaatar where half of the country’s population lives. In winter when the temperature falls below -30 Celsius, the energy losses of such buildings increase the need for heating and affect the quality of life of these 45,462 households.

GGGI carried out an energy audit on 3 model precast buildings at the request of the Municipality of Ulaanbaatar City (MUB) to determine the heat loss of multi-family, residential buildings. Based on the audit report, GGGI together with the MUB and ICLEI – Local Governments for Sustainability developed a concept note in 2019 and received a Detailed Preparation Phase (DPP) funding from the NAMA Facility to ensure the readiness of Energy Performance Contracting for Residential Retrofitting project.

The project aims (i) to improve building energy efficiency through retrofitting of residential building; (ii) to break the deadlock of financing Mongolia’s building energy efficiency through an introduction of Energy Performance Contracting and other financing mechanisms; and (iii) to trigger transformative and long lasting policy change in the energy efficiency sector.

Project Results

Impact: Decreased greenhouse gas emissions from residential buildings

Outcome: Mobilization of EUR 18 million grant financing

Project Outputs completed in 2020:

Implementation of Detailed Preparation Phase 1

i. Green Investments: 

  • The project received project preparation funding from the NAMA facility and in 2020 a host of activities to develop the business model and engage stakeholders in the design of the project were carried out. The project aims to mobilize co-financing from the Municipality of Ulaanbaatar City, the Ministry of Construction and Urban Development and the NAMA facility to finance the thermo-technical retrofitting of 375 building blocks beginning in 2022.

ii. Capacity Building and Knowledge Products:  

  • As part of the awareness raising and household engagement outputs, 10 short videos and interviews, 10 infographics, and 3 media articles were produced. Additionally, 1 knowledge sharing event was organized together with the Municipality of Ulaanbaatar City.