Best Renewable & Alternative Energy Lawyers in Mongolia

About Renewable & Alternative Energy Law in Mongolia

Renewable and alternative energy play a growing role in Mongolia’s energy future. Driven by its abundant solar, wind, and hydro-power potential, Mongolia has prioritized diversifying its energy supply away from fossil fuels to reduce air pollution, ensure energy security, and contribute to climate change commitments. The legal framework governing renewable and alternative energy in Mongolia addresses investments, licensing, land use, tariffs, and environmental protections to facilitate sustainable energy sector growth. The legislation is designed to attract both domestic and foreign investors while aligning with Mongolia’s international environmental obligations.

Why You May Need a Lawyer

Navigating the renewable and alternative energy sector in Mongolia often requires specialized legal advice. Common situations that may require legal assistance include:

• Securing permits and licenses for renewable energy projects
• Negotiating land use, leases, and rights-of-way for energy installations
• Drafting and reviewing power purchase agreements and contracts
• Understanding tariffs, taxation, and incentives for alternative energy
• Ensuring compliance with environmental and local regulations
• Resolving disputes related to development, financing, or operations
• Obtaining international investment approvals for energy projects

A lawyer with expertise in renewable energy law can help you avoid legal pitfalls and ensure that your project proceeds smoothly from conception to operation.

Local Laws Overview

Key Mongolian laws relevant to renewable and alternative energy include:

• Renewable Energy Law (2007, amended 2015): Sets the legal basis for developing and utilizing renewable energy, including licensing, tariffs, and incentives.
• Energy Law (2001, amended): Outlines general principles for Mongolia’s energy sector and regulates production, transmission, and distribution.
• Environmental Protection Laws: Address environmental assessments, permitting, and compliance for energy projects.
• Investment Law (2013): Provides guarantees and regulations for domestic and foreign investment in all sectors, including energy.
• Land Law: Regulates land acquisition and usage, which is essential for project development.

Tariff policies for renewable energy are generally implemented via feed-in tariffs and negotiated purchase agreements. Developers must obtain licenses from the Energy Regulatory Commission of Mongolia and comply with environmental and technical standards. Legal requirements continue to evolve as Mongolia seeks to encourage more clean energy production and meet its international climate commitments.

Frequently Asked Questions

What permits are required to start a renewable energy project in Mongolia?

You must obtain a generation license from the Energy Regulatory Commission, environmental permits, and land use approvals from the relevant government agencies.

Are there incentives for investing in renewable energy in Mongolia?

Yes, the Renewable Energy Law offers feed-in tariffs, tax incentives, and customs exemptions for eligible projects. Specific incentives may depend on the scale and type of technology.

Who regulates the renewable energy sector in Mongolia?

The Energy Regulatory Commission of Mongolia is the main regulatory authority, with oversight also from the Ministry of Energy and environmental agencies.

What types of renewable energy are most common in Mongolia?

Wind and solar power are the most common, with growing interest in small hydro and biomass projects due to Mongolia’s climatic and geographic conditions.

Can foreign investors participate in Mongolia’s renewable energy sector?

Yes, foreign individuals and companies can invest directly or through joint ventures, subject to compliance with investment and sector regulations.

How are tariffs determined for renewable energy projects?

Tariffs are generally set by the Energy Regulatory Commission using a feed-in tariff structure, but they may also be established through power purchase agreements.

What environmental requirements must be met for a renewable energy project?

Developers must conduct an environmental impact assessment and obtain the necessary approvals before construction can begin, and adhere to ongoing compliance obligations.

Are there limits on the size of renewable energy developments?

There are no fixed maximum sizes, but all projects must comply with technical, environmental, and land use regulations, which may vary depending on project scale and location.

How long does it take to set up a renewable energy project in Mongolia?

The process varies depending on project size and complexity, but permitting and approval typically take several months to over a year, depending on regulatory compliance.

What are the main legal risks in renewable energy projects?

The main risks include changes to laws or tariffs, permitting delays, land use disputes, uncertain grid access, and contract enforcement challenges.

Additional Resources

Several government and non-governmental organizations provide information and support related to renewable energy law in Mongolia:

• Energy Regulatory Commission of Mongolia (ERC)
• Ministry of Energy of Mongolia
• Ministry of Environment and Tourism of Mongolia
• Mongolian National Renewable Energy Center
• International Renewable Energy Agency (IRENA) - Country programs
• Chamber of Commerce of Mongolia

Contacting these bodies can provide current information on regulatory requirements, investment opportunities, and sector updates.

Next Steps

If you need legal assistance related to renewable and alternative energy in Mongolia, consider the following steps:

• Identify your specific legal needs, such as permits, contracts, or compliance
• Contact a lawyer or law firm with expertise in renewable energy and Mongolian law
• Gather all relevant project or investment documents for review
• Schedule an initial consultation to discuss your goals and potential challenges
• Work with your legal advisor to understand your rights, obligations, and the best strategies for your project

Early legal guidance can help you navigate regulations, avoid common pitfalls, and achieve greater success in Mongolia’s renewable and alternative energy sector.