The “Egiin Goliin Hydro Power Plant” (EGHPP) project has been on the papers for many years and hasn’t become reality until today. The New Government for Changes funded the project initiation phase from the Chinggis bond, taken measures to move the project from halt state to implementation stage.
The funds enabled the project to conduct hydrological, environmental, geological drilling, geophysical, topographical surveys for the updated Feasibility study. According to the Consultant, the total project cost is estimated at 827.6 million USD.
On August 25th, the energy sector Science and technology committee has approved the EGHPP updated feasibility study and thus the project is one step closer to be implemented successfully.
Once the power plant is in operation, it will supply approx. 27 percent of peak load capacity demand of Central Energy System (CES).
In relation to the approval of updated feasibility study, the project implementation unit head of engineering & technical department
B.Tumur (B.T) and consultant
B.Ochirjav (B.O) has given additional information.
The “Egiin Goliin Hydro Power Plant” project Feasibility study has been conducted by foreign reputable company. What are the studies conducted? The world renown French company “Tractebel engineering” (Coyne et Bellier) has conducted the EGHPP project updated Feasibility study. The company has 190 years of history, undertaken 600 dam engineering projects in over 70 countries worldwide. Of those studied, 250 dams have been built to date.
After completing our Feasibility study, they have concluded that the project is technically feasible and financially, economically bankable to fulfill the requirements of the international banks and financial institutions.
Moreover, during the feasibility study, the following 52 volumes of studies were conducted in parallel: archaeological, geophysical, paleontological, seismic, fish, forest, resettlement, transmission line route, access road route.
As the project is the first large hydropower plant or Mega project it has been studied in detail and in high level.
Although the updated feasibility study has been conducted by world reputable consulting company, the project implementation unit’s Mongolian experts and scholars have contributed to establishing information data base, reflect local conditions and characteristics in the research methodology, had the responsibility to get the study completed in time and it’s been mentioned in the FS by the consultants.
(B.T) How long did it take to complete the Feasibility study? The consulting company was chosen on 25th of April 2014 and completed the Feasibility study on 18th of August in English and Mongolian language. Thereafter, it’s been approved by the energy sector Science and technology committee. It means that it took four months to complete the study, which is considerably short period time.
Some of the previous EGHPP feasibility study of 1992-1995 volumes were not found. Therefore, in order for this to not happen in the future, we have made hard and soft copies which were later distributed and officially submitted to relevant authorities
(B.T). Are there any items used from the previous Feasibility study? The very first schematic study of EGHPP was conducted in 1965. At that time, it concluded that there are 26 locations of potential hydropower plant construction sites in Mongolia. Among these locations, EGHPP was chosen and in 1992, started talks with Asian Development Bank (ADB). Consequently, ADB granted funds for conducting feasibility study.
The previous study of 1992-1995 was completed by Swiss, Italian companies and Mongolian “Usni Erchim” LLC sub consultant funded by grant and concessional loan financing from ADB.
It’s been 20 years since the last study, thus naturally there was the necessity to conduct and update the hydrological study, comply with the new legal environment, update the cost
estimation to present values, to complete the incomplete field studies and based on these studies, the optimization study had to be updated. The EGHPP installed capacity has been determined at 315 MW, taking into account the spinning reserve capacity and the optimization study which was estimated based on the updated studies.
The optimization study compared multiple alternative installed capacities at 100 MW, 210 MW, 320 MW, and 400 MW with the following requirements: emergency spinning reserve capacity needs to be supplied, electricity generation capacity needed to be increased, to establish appropriate balance between energy resources, and increase the next 30 year peak load supply capacity. In relation to this, the electrical equipment, dam dimensions, hydrological estimations have changed, as well as the dam construction site geological and geophysical incomplete studies were completed.
(B.O) How was the hydropower plant cost benefit estimation reflected in the Feasibility study? Mongolian energy system winter daily peak load is between 7-9 pm. At this time, as to fulfill the peak load demand, we are importing electricity from Russia. As of 2013, 193 MW was imported as to fulfill the CES daily winter peak load demand, which is 325 million kWh electricity imported and paid 24.9 million USD. Further, during the night when the energy consumption is at its lowest, we export electricity to Russia at very low tariff. This condition is one of the sources of loss to the CES.
Once the hydropower plant is in operation, savings will be incurred from decreasing imported electricity from Russia. This hydropower plant is commercially efficient covering its costs by its revenues from electricity production without subsidies from the Government nor tax payers.
(B.T) It is said when it comes to hydropower plant, complex construction will take place. Please inform us more about it.
As reflected in the EGHPP updated Feasibility study, a reservoir with surface of 154.3 km2, reservoir volume of 5.6 billion m3 will be formed.
Construction will consist of a dam crest length of 740 m, max height above foundation 103 m, 10/220 kV substation, 71.9 km access road, 72.3 km double circuit transmission line, 320 m steel concrete bridge on Selenge River, 100 m four steel concrete bridges along the access road route.
Morever, 315 MW installed capacity powerhouse consists of 69,5 MW 4 turbines and two 20.5 MW.
The 220 kV double circuit transmission line is to transfer the hydropower plant generated electricity through Erdenet substation to the Mongolian CES.
Moreover, I would like to specify one thing particular. The EGHPP project is an environmentally friendly project. Khuvsgul Lake the spring water lake is the mouth of Egiin River. The EGHPP is to form a reservoir at the Bulgan province Khutag-Undur soum which is the size of one third of
Khuvsgul Lake. In forming a reservoir of this size will have positive impact for Mongolia as it is becoming increasingly scarce in water, and impacted by desertification. In this condition, lake water will come abundant and pure, at the same time, the climatic condition becomes more humid creating a better condition for the animals to live in the region.
(B.O)
It is said that fish passage was reflected in the new Feasibility study? The fish passage study was not included in the 1992 Feasibility study, nor was the fish study incomplete. Therefore, the project implementation unit has paid special attention to the fish and aquatic fauna protection and has reflected the fish passage in the updated feasibility study.
The fish study is being conducted in cooperation with the environment protection “Mongolian Taimen” fund non-governmental organization. Many international fish researchers are participating in the fish migration genetic study which is a significant work in compliance with international environmental requirements.
Tractebel engineering has taken into account all the requirements in regard to environmental protection in the engineering of the dam and other structures. (
B.O)
The update Feasibility study is completed. What are next step of work to be implemented? After completing the feasibility study, the Environmental Impact Assessment is to be completed and approved by the Ministry of Environment and Green Development. The EIA has been completed and is under review of the Ministry. Furthermore, several financing options are under study and talks with banks and financial institutions regarding loan and investment financing have started.
(B.T) G.Iderkhangai