UNDP: A Just Energy Transition is Crucial for Securing Mongolia’s Sustainable and Green Future
November 11, 2024
Ulaanbaatar, 12 November 2024 – Today, UNDP Mongolia launched its 2024 National Human Development Paper, titled 'A Just Energy Transition for Human Development in Mongolia.' This flagship paper assesses the impact of Mongolia’s coal-dependent economy on its human development progress., It argues for a roadmap for a people-centered energy transition that addresses the energy and human development capabilities for both current and future generations.
The report identifies a Just Energy Transition (JET) as a vital pathway for Mongolia to sustainably increase its human development to higher levels. It points that a fair shift towards clean energy can stimulate green economic growth, build resilience, and reduce emissions, while advancing health, education, social equity and gender equality. However, it also underscores the need to manage economic and social challenges, ensuring that the transition does not disproportionately harm the vulnerable or affected populations.
In his opening remarks, His Excellency Dorjkhand Togmid, Deputy Prime Minister of Mongolia and Member of Parliament, stressed the importance of the energy transition and said “Mongolia’s future depends on how we manage the energy transition. Energy Transition is not just an environmental necessity but an economic and social imperative. We must ensure that the benefits of this transition reach every citizen, while assessing the potential risks.”
The transition offers significant benefits, including investment in renewable energy, green job creation in new sectors, opportunities for skills development, reduction in air pollution and a healthy life. However, it also presents risks, such as job displacement and sunk investments in fossil fuel infrastructure. To address these challenges, the report recommends strengthening Mongolia's resilience through legal and regulatory reforms, promoting international cooperation, and empowering vulnerable groups, especially women and youth, to access clean energy opportunities.
“Mongolia stands at a crossroads. The choices made today on energy will shape the future for generations,” said Ms. Matilda Dimovska, UNDP Resident Representative in Mongolia. “A Just Energy Transition offers a unique opportunity to create inclusive growth, reduce inequality, and build a resilient economy that benefits everyone—especially women, youth, and vulnerable communities. This transition, if managed equitably, can be a powerful driver for Mongolia’s sustainable development.”
Human Development Index (HDI) ranks Mongolia 96th out of 193 countries as of 2023, with a value of 0.741—an improvement of 28% since 1990. Despite these gains, recent years have seen a stagnation in human development, as the HDI has struggled to recover from recent declines since 2016. The poverty rate remains high at 27.1% as of 2022, signaling an urgent need for policies that support inclusive growth, and prosperity, and address inequalities in education, gender, and access to clean energy for heating and cooking.
The 2024 National Human Development Paper marks the seventh such document for Mongolia since 1997, continuing UNDP's tradition of comprehensive analysis of global, regional, and local development trends.
The full report and overview: https://go.undp.org/ozm
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For further inquiries:
Erdenesukh Otgonbayar | Communications Analyst | UNDP in Mongolia | erdenesukh.otgonbayar@undp.org
Yasin Janjua | Economist | UNDP in Mongolia | yasin.janjua@undp.org