Over the past year, from June 2025 to May 2026, Mongolia's electricity generation landscape has been heavily reliant on fossil fuels, particularly coal, which accounted for over 90% of the total electricity production. This indicates that Mongolia relies almost entirely on coal-driven energy, which is a concern given coal's significant environmental impact. Conversely, low-carbon sources such as wind have contributed just over 8% to the electricity mix. While the presence of low-carbon energy is a positive sign reflecting efforts towards more sustainable energy, the share remains quite minimal, leaving substantial room for improvement in diversifying Mongolia's energy portfolio and addressing climate change challenges.

Is Electricity Growing in Mongolia?

Electricity consumption in Mongolia is showing signs of contraction. In 2026, the total electricity consumption was 2810 kWh per person, down from the historic high of 3036 kWh per person seen in 2024, marking a decrease of 226 kWh per person. Similarly, the consumption of low-carbon electricity also fell to 232 kWh per person compared to the previous record of 249 kWh per person in 2021. This reduction, both in total and low-carbon electricity consumption, highlights a worrying trend and suggests that Mongolia is not increasing its capacity in green energy production or overall energy consumption, which is crucial for sustainable development and reducing dependency on coal.

Suggestions

To expand its low-carbon electricity generation, Mongolia can look to various successful regions for inspiration, particularly in solar and nuclear energy. Countries like France and Slovakia have seen significant success with nuclear energy, generating around two-thirds of their electricity from this low-carbon source. Similarly, wind energy has been very successful in Denmark and Iowa. Recognizing Mongolia's vast open spaces and potential for wind power, adopting strategies from these wind-rich regions could be beneficial. Additionally, increasing solar energy capacity, as seen in states like Nevada and countries like Chile, is highly recommended due to Mongolia's abundant sunlight. Embracing the successful models from these diverse regions will be crucial in transforming Mongolia’s energy landscape towards a more sustainable future.

History

Historically, Mongolia's journey in adopting low-carbon electricity has seen mixed progress. Starting from 2009 with close to zero change in hydroelectric generation, the country began exploring wind energy in the early 2010s, with incremental generation increases. By 2013, wind energy made minor advancements, though such gains were sporadic until 2025, when a more notable increase was observed. The introduction of solar energy in 2017 also marked a new era, albeit with only modest growth. Unfortunately, the early 2020s were marked by setbacks with a decrease in wind energy production in 2022. Overall, while there have been some individual efforts to boost low-carbon energy, the pace has been too slow and inconsistent. Mongolia needs a more concerted and ongoing push to expand its clean electricity production significantly to lead the way in sustainable energy transformation.

Electricity Imports and Exports

Balance of Trade

* 12M = Last 12 months (Jun 2025 – May 2026) — a rolling 12-month period, not a calendar year.