Renewable Energy Program #1 - Solar

  • Mitigation
  • Completed
Date approved
02 Oct 2017
Completion date
06 Jul 2022
ESS Category
Intermediation 2
Financing
Private sector
Entity
XacBank JSC (Mongolia)

Overview

Mongolia's first utility-scale solar project achieved landmark success as a 10MW facility in Sumber soum, financed with USD 17.6 million including GCF concessional funding through local commercial banking. Despite COVID-19 pandemic challenges that reduced national electricity demand and caused delayed disbursements, the project exceeded all performance targets by generating 34,124 MWh of clean electricity—10.8% above projections—while achieving 29,722 tCO2eq in emissions reductions, 21.1% higher
than expected. The facility now powers 20,000 Mongolian households annually.

Key lessons emphasize concessional financing's critical importance for renewable energy development, as high costs remain major barriers for local developers. The project demonstrated strong social impact with 47% female employment (vs. 18% sector average) and 55.5% local hiring from Choir area, proving renewable energy's capacity for rural economic development and community engagement in Mongolia.

Result areas

Countries

Regions

Project timeline

  • Pipeline

    202 days

    • Funding proposal received

    • Cleared by iTAP

  • Approved

    106 days

    • Approved by GCF Board

    • FAA executed

  • Under implementation

    1,634 days

    • Legal opinion on AE's Internal Approval

    • FAA effective

  • Completed

  • Total project value $ 17.6 million

  • Tonnes of CO2 equivalent avoided 307 thousand

Financing

GCF-financing

0.0%

USD

Co-financing

0.0%

USD

USD 17.6 million

Show details

GCF-financing

100% disbursed

  • Loan USD 8,650,050
  • Total GCF-financing USD 8,650,050

Co-financing

  • Equity USD 8,906,870
  • Total co-financing USD 8,906,870

News and stories

Documents

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