A deal has been signed to encourage, promote and develop green buildings in Mongolia.
IFC, a member of the World Bank Group, has signed a Memorandum of Understanding with the Ministry of Construction and Urban Development (MCUD) to jointly develop mandatory regulations and voluntary policies for this purpose.
The partners will also generate awareness and share knowledge regarding sustainable buildings.
Mongolia is one of the most urbanised countries in Asia – around 72% of its population live in cities.
However, about 60% of these urban residents live in traditional tent dwellings, with many others living in poorly insulated buildings. Both groups still rely heavily on inefficient household stoves and coal-based heating systems.
These methods waste fuel and money, as well as directly contributing to severe air pollution.
Improving building designs could result in substantial benefits by reducing monthly utility bills, improving public health and reducing greenhouse gas emissions.
The Government of Mongolia aims to reduce heat losses from buildings by 20% by 2020 and 40% by 2030, compared to 2014 levels.
Energy efficient buildings are expected to play a large part in helping the government achieve these targets.
Mongolia has vast renewable resources for electricity production which could potentially be exported.