Ulaanbaatar-5 power station

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Ulaanbaatar-5 power station (ДЦС-5) is a power station in Ulaanbaatar, Bayangol, Mongolia with multiple units of varying statuses, none of which are currently operating. It is also known as CHP-5, Ulaanbaatar Thermal Power Plant No. 5, Дулааны тавдугаар цахилгаан станц.

Location

Table 1: Project-level location details

Plant name Location Coordinates (WGS 84)
Ulaanbaatar-5 power station Ulaanbaatar, Bayangol, Ulaanbaatar, Mongolia 47.900606, 106.799694 (exact)[1]
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Unit-level coordinates (WGS 84):

  • Unit 1, Unit 2: 47.900606, 106.799694
  • Unit 1 (old), Unit 2 (old), Unit 3 (old): 47.925948, 107.049494

Project Details

Table 2: Unit-level details

Unit name Status Fuel(s) Capacity (MW) Technology CHP Start year Emergency/Backup
Unit 1 Pre-permit[1] coal: unknown[2] 150[3] unknown yes[4] 2028 (planned)[5] False
Unit 1 (old) Cancelled coal: subbituminous[2] 150 subcritical False
Unit 2 Pre-permit[1] coal: unknown[2] 150[3] unknown yes[4] 2028 (planned)[5] False
Unit 2 (old) Cancelled coal: subbituminous[2] 150 subcritical False
Unit 3 (old) Cancelled coal: subbituminous[2] 150 subcritical False

Table 3: Unit-level ownership and operator details

Unit name Owner Parent
Unit 1 CIty of Ulaanbaatar [100%][6] CIty of Ulaanbaatar [100.0%]
Unit 1 (old) Thermal Power Plant-3 JSC [50%]; Inter RAO PJSC [50%] Inter RAO PJSC [50.0%]; Thermal Power Plant-3 JSC [50.0%]
Unit 2 CIty of Ulaanbaatar [100%][6] CIty of Ulaanbaatar [100.0%]
Unit 2 (old) Thermal Power Plant-3 JSC [50%]; Inter RAO PJSC [50%] Inter RAO PJSC [50.0%]; Thermal Power Plant-3 JSC [50.0%]
Unit 3 (old) Thermal Power Plant-3 JSC [50%]; Inter RAO PJSC [50%] Inter RAO PJSC [50.0%]; Thermal Power Plant-3 JSC [50.0%]

Project-level coal details

  • Coal source(s): domestic

Background

2008 proposal

The power station was proposed to be built on the eastern side of the city of Ulaanbataar. The cost was originally estimated at US$650 million. In a May 2008 briefing on energy developments in Mongolia, the State Secretary of the Ministry of Fuel and Energy stated that "the international bidding is planned to be announced in the near future."[7]

In a July 2010 presentation, a Mongolian government official stated that the current heating demand in Ulaanbaatar was only marginally more than demand. Electricity generation capacity was 690 MW while peak demand in 2010 reached 711 MW. He also explained that the small existing combined heat and power stations, the 21 MW CHP‐2 and the 48 MW CHP-3, are old and will be "out aged by 2015". He also projected that by 2020 heat demand would increase substantially and electricity demand would grow by 700 MW. "These factors show that there will shortage of heat and electricity capacity in [Ulaanbaatar] from 2011 and necessity of construction CHP‐5," he argued.[8]

For its part, the Asian Development Bank (ADB) noted that the proposal was most likely to be for a 300 MW owned and operated by a private operator. "The government will allocate the land and determine coal standards for the plant operations. Whether the prices at which the [Government of Mongolia] will buy the outputs would justify investment (estimated cost is 1 million USD per 1 MW of capacity109) remains to be seen," the ADB stated.[9]

In June 2014, POSCO Energy announced that it had "has won the license to build and run" CHP-5 which was described as a 450 MW plant. POSCO announced that construction of the project would commence in 2015 and that the build-operate-transfer contract would run for 25 years at which time the plant would be transferred to the Mongolian government free of charge.[10] The estimated cost was US$1.2 billion and the project was to be completed by 2017.[11]

In July 2015, Posco Energy of South Korea and partners Engie (formerly known as GDF Suez SA) of France, Sojitz Corp. of Japan, and Newcom Group of Mongolia signed a PPA with the Mongolia government for the plant. Under the agreement, the Engie-led group would pay for and build the plant, operate it for 25 years, sell its power to the central grid, and then transfer the facility to the government. The power station was planned to be operational by 2020.[12]

In October 2015, ADB released the draft Environmental and Social Impact Assessment (ESIA) for CHP-5. In April 2016, the companies submitted a revised edition of the ESIA to ADB.[13]

According to Bankwatch (April 2017), the project is on hold due to ongoing negotiations between the government and the sponsors on the tariffs for electricity and heating.[13]

According to the UB Post (February 28, 2018), the consortium for the project was disbanded.[14] China Energy Storage Network News reported that public opposition due to the poor air quality in Ulaanbaatar led to the suspension of the coal project in favor of clean energy projects.[15]

A January 2022 news article stated: "Since the feasibility study was prepared, the construction of Thermal Power Plant 5 has been stalled for almost 10 years. It is already scheduled to be commissioned, but not a single brick has been laid to date."[16] A report published in August 2022 described the project as having "never materialized".[17]

International consortium

POSCO Energy held a 30% stake in the project consortium. Other members of the joint venture were Engie, Sojitz Corporation, and Newcom.[10]

Financing for 2008 proposal

The project sponsors were seeking finance from the Asian Development Bank private sector arm, the Japanese Bank for International Cooperation (JBIC), and Nippon Export and Investment Insurance (NEXI).[13] An IJGlobal report from 2015 also identified Korea Trade Insurance Corporation (K-Sure), the European Bank for Reconstruction and Development (EBRD), and private banks Credit Agricole, HSBC, Sumitomo Mitsui Banking Corporation, and MUFG as potential funders.[18]

Plant No. 3 infrastructure

In 2021, it was reported that there were plans to "establish Ulaanbaatar’s Fifth Thermal Power Plant based on the infrastructure of the Third Thermal Power Plant. Minister of Energy N.Tavinbekh said, 'Most of the plant’s main infrastructure is becoming outdated. As the Third Thermal Power Plant was put into operation in 1966-1968, it is possible that the plant’s operations could come to a stop at any given moment.'"[19][20]

At a Cabinet meeting on October 20, 2021, Minister of Energy N.Tavinbekh "introduced the progress of the construction project for Ulaanbaatar’s fifth thermal power plant which planned to be established based on the infrastructure of the Third Thermal Power Plant." As project implementing bodies, ‘Thermal Power Plant-3’ JSC of Mongolia and ‘Inter RAO-Export’ company of Russia signed a memorandum of cooperation, and reached an agreement on the volume of works to be carried out by both sides. The Russian company agreed to submit a feasibility study of the project in 180 days. Based on the study, the matter concerning export loans from the Government of Russia could be introduced by the first quarter of 2022. Despite its location and being one of the main sources for heat supply in Ulaanbaatar, the operations of the Third Thermal Plant were reportedly "at risk" due to outdated core equipment.[21]

The Ulaanbaatar-3 power station wiki page provides additional information about the site and 2021 proposal.

2024 proposal for TPP V at TPP II site

In November 2024, the mayor of Ulaanbaatar reportedly announced that a new tender for Thermal Power Plant V (TPP V) was expected to be launched in the first quarter of 2025. A feasibility study for a 300 MW power plant had been completed. The new plant was slated to be built on the site of the existing Thermal Power Plant II (TPP II).[22][23] The chairman of the MCS Group reportedly said that the power station would be jointly built by the private sector,[22] though it was unclear how the MCS Group was connected to the proposed power station.

Later in November 2024, the Minister of Energy reportedly said that the 300 MW proposal could be a first phase, followed by a 400–500 MW second phase.[24]

According to reporting from December 2024, Japan was planning to finance the construction of TPP V.[25][26]

As of January 2025, it was unclear whether the TPP V proposal was related to October 2024 news about a 2 x 300 MW power plant feasibility study for TPP II.[27] At an early January cabinet meeting, the Prime Minister reportedly said a priority project for the first 100 days of 2025 was “[c]onducting feasibility studies for expanding the Second Thermal Power Plant and constructing a Fifth Thermal Power Plant”.[28]

As of May 2025, the feasibility study for TPP V had been revised. Officials were planning to acquire 15 hectares of land for the plant and were preparing to launch an international open tender for private partners to implement the project.[29][30] The power station’s estimated cost was US$658 million. Officials expected to approve a contract in September 2025 and build the power station within 30 months.[30]

The power station was expected to use circulating fluidized bed (CFB) technology.[31]

According to reporting from June 2025, the power station would be owned by the city of Ulaanbaatar. Contrasting with earlier media reports of Japan’s involvement in the project,[25] consulting project engineers reportedly said that Japanese, Korean, and Russian companies would not implement the project. Chinese state-owned companies would also not be involved following China’s 2021 pledge to stop financing overseas coal projects, but Chinese private companies could potentially participate.[32]

In September 2025, city officials reportedly announced that Mitime International had been selected as the contractor to build the proposed TPP V. Contract negotiations with the company were reportedly underway.[33][34] The contract with Mitime International was signed in October 2025.[35]

According to other reporting from October 2025, the power station would consist of two 150 MW units.[36]

In December 2025, the mayor of Ulaanbaatar City reportedly said that construction on TPP-5 was expected to begin in 2026, and the plant was slated to start operating in 2028. A power purchase agreement (PPA) was expected by the end of the year.[37]

As of March 2026, earthworks for the power station had reportedly begun.[38] According to reporting from April 2026, work to remove 1 million cubic meters of coal ash that had accumulated at the site from TPP II was underway. Following ash removal, soil leveling and foundation work was slated to begin.[39]

In May 2026, a groundbreaking ceremony was held.[40][41]

Financing for 2024 proposal

In May 2025, city officials said the revised feasibility study estimated the project cost at US$658.6 million, with 80% of financing to be provided by a private-sector partner and 20% by the city.[42] In September 2025, Mitime International was selected as the contractor/private partner, with reporting stating that it would build the plant with its own funds and transfer ownership to the state after completion.[43]

Website

CHP5 Energy For Tomorrow (former)

Articles and Resources

References

  1. 1.0 1.1 1.2 https://gogo.mn/r/7l0gy. {{cite web}}: Missing or empty |title= (help)
  2. 2.0 2.1 2.2 2.3 2.4 https://www.gem.wiki/Coal_source_methodology_for_the_Global_Coal_Plant_Tracker. {{cite web}}: Missing or empty |title= (help)
  3. 3.0 3.1 https://www.montsame.mn/mn/read/380865. {{cite web}}: Missing or empty |title= (help)
  4. 4.0 4.1 https://sonin.mn/newsDetail/6778. {{cite web}}: Missing or empty |title= (help)
  5. 5.0 5.1 https://news.mn/r/2837893/. {{cite web}}: Missing or empty |title= (help)
  6. 6.0 6.1 https://isee.mn/n/79024. {{cite web}}: Missing or empty |title= (help)
  7. S. Tserenpurev, State Secretary of the Ministry of Fuel and Energy, "Energy Development in the South Gobi Region", World Bank, May 2008, page 9.
  8. Sh. Batrenchin, Senior Expert, Energy Policy Department, Ministry of Mineral Resources and Energy of Mongolia, "Energy Projects in Mongolia", Ministry of Mineral Resources and Energy of Mongolia, July 2010, page 3. (Pdf)
  9. "Private Sector Assessment for Mongolia", Asian Development Bank, April 2009, page 42.
  10. 10.0 10.1 "POSCO Energy Sets Foot in Mongolian Power Plant Business", KoreaTimes, June 23, 2014.
  11. "Mongolia, GDF Suez-led Group Sign 450MW Power Plant Agreement", Bloomberg, June 20, 2014.
  12. "Accord for $1.4 Billion Mongolia Power Plant Could Reduce Pollution", Bloomberg, July 29, 2015.
  13. 13.0 13.1 13.2 "Mongolia's energy sector", Bankwatch, April 15, 2017.
  14. "On the quest to energy independence", The UB Post, February 28, 2018.
  15. "蒙古国清洁能源发展迅速,火电项目已被彻底抛弃?", 中国储能网新闻中心, October 18, 2018.
  16. ""Аньсан" цахилгаан станцууд аминд орно," news.mn, January 28, 2022
  17. "War in Ukraine and its Impacts on Mongolia's Economy," Mongolian Institute for Innovative Policies, 2022
  18. Mongolia’s CHP5 mandates four lenders, IJGlobal, Sep. 1, 2015
  19. "Prime Minister becomes acquainted with works to renew Third Thermal Power Plant," Montsame, November 15, 2021
  20. "5-р цахилгаан станц баригдаагүй байхад 6-р цахилгаан станц баригдах уу?," asuult, May 10, 2021
  21. "Feasibility study being carried out for Ulaanbaatar’s fifth thermal power plant," Montsame, October 20, 2021
  22. 22.0 22.1 “Тавдугаар цахилгаан станцын ТЭЗҮ бэлэн болжээ,” gogo, November 16, 2024
  23. “Дулааны V цахилгаан станцын тендерийг ирэх оны эхээр зарлана,” Zindaa, November 17, 2024
  24. “Эрчим хүчний үнэ нэмэгдлээ, одоо шинэ эх үүсвэр, хэмнэлтийн бодлого хэрэгтэй,” Sonin.mn, November 27, 2024
  25. 25.0 25.1 “Япон Улсын хөрөнгө оруулалтаар V цахилгаан станцыг байгуулна,” News.mn, December 19, 2024
  26. “2025 онд эхлэх нийслэлийн онцлох 10 бүтээн байгуулалт,” iToim, January 2, 2025
  27. “Б.Чойжилсүрэн: 2027 оны дунд үе, наадам гэхэд Монгол Улс дотоодоосоо эрчим хүчээ бүрэн хангах бололцоотой болно,” Ikon, October 30, 2024
  28. “Construction of the Tuul River Highway Scheduled to Begin in March 2025,” Government of Mongolia, January 2, 2025
  29. “Х.Нямбаатар: ТЭЦ-5 дулааны цахилгаан станцын олон улсын нээлттэй тендерийг зарлах бэлтгэл ажлыг хангаад байна,” Улаанбаатар хот, April 21, 2025
  30. 30.0 30.1 “Т.Даваадалай: ДЦС-5 төслийн нийт хөрөнгө оруулалт $658 сая. Санхүүжилтийн 80%-ийг хувийн хэвшил, 20%-ийг нийслэл хариуцах бүрэн шинжилгээ гарсан,” Ikon, May 26, 2025
  31. “Дулааны V цахилгаан станц 300 МВт цахилгаан эрчим хүч, 340Гкал/цаг дулааны эрчим хүч үйлдвэрлэх хүчин чадалтай,” Монголын Үндэсний Олон Нийтийн Радио Телевиз, May 23, 2025
  32. “600 сая ам.долларын санхүүжилт шаардлагатай "ДЦС-5"-ын тендерт монгол, хятадын 4-5 компани оролцохоор бэлтгэж байна гэв,” iSee, June 6, 2025
  33. “Дулааны V цахилгаан станцыг “Митайм Интернэшнл” ХХК өөрийн хөрөнгөөр барина,” asu.mn, September 8, 2025
  34. ““Дулааны тавдугаар цахилгаан станц” төслийн гүйцэтгэгч компани шалгарч, гэрээний хэлэлцээрийг эхлүүллээ,” MMInfo.mn, September 8, 2025
  35. “Дулааны тавдугаар цахилгаан станцыг барих гэрээг үзэглэлээ,” Монголын Үндэсний Олон Нийтийн Радио Телевиз, October 24, 2025
  36. “Хотын даргад ДЦС-5 төслийн түншлэлийн гэрээ байгуулах эрхийг олголоо,” Montsame, October 17, 2025
  37. “ДЦС-5 барилга угсралтын ажлыг ирэх онд эхлүүлнэ,” News.mn, December 8, 2025
  38. “Улаанбаатар цахилгаан түгээх сүлжээг өргөтгөнө,” Gogo, March 1, 2026
  39. “ДЦС-5 төслийн талбайг чөлөөлж, 65 жилийн хуримтлагдсан үнсийг зайлуулж эхэллээ,” medee.news, April 23, 2026
  40. “Дулааны 5-р цахилгаан станцын бүтээн байгуулалтад нийт 658.5 сая ам.доллар зарцуулна,” МОНГОЛ ТВ, May 5, 2026
  41. “ДУЛААНЫ V ЦАХИЛГААН СТАНЦ БҮТЭЭН БАЙГУУЛАЛТАА ЭХЛҮҮЛЛЭЭ,” Эрчим хүчний яам, May 6, 2026
  42. "Т.Даваадалай: ДЦС-5 төслийн нийт хөрөнгө оруулалт $658 сая. Санхүүжилтийн 80%-ийг хувийн хэвшил, 20%-ийг нийслэл хариуцах бүрэн шинжилгээ гарсан". iKon.mn. 2025-05-26. Retrieved 2026-05-29.{{cite web}}: CS1 maint: url-status (link)
  43. "Cambodian firm to build TPP 5". The UB Post. 2025-09-10. Retrieved 2026-05-29.{{cite web}}: CS1 maint: url-status (link)

Additional data

To access additional data, including an interactive map of coal-fired power stations, a downloadable dataset, and summary data, please visit the Global Coal Plant Tracker on the Global Energy Monitor website.