Japan’s SoftBank Group has agreed to partner with Korean power utility KEPCO and Mongolian investment company Newcom to develop renewable energy projects in Mongolia.
The three parties have signed a Memorandum of Understanding on a framework that could see them invest in and build clean power facilities in Ulaanbaatar, the country's capital.
The partners will primarily work on wind and solar projects, according to a statement. Their first endeavour will see them conduct a feasibility study on the development of a 30MW solar power plant.
Endowed with rich wind and solar resources, Mongolia has unveiled plans to boost power generation from renewables sources to 25 percent of the country’s total energy output by 2025.
KEPCO this week signed another MoU with Mongolian state-run transmission company National Power Transmission Grid calling for a revamp of the country's transmission and distribution networks, in a bid to address low electricity penetration rates in rural areas and high distribution losses.
Earlier in April, SoftBank and regional power utility giants including KEPCO, China’s State Grid and Russian grid operator PJSC ROSSETI agreed to team up to build the so-called “Asia Super Grid”, spanning north-east Asia.
The ambitious scheme, first proposed in 2011 by SoftBank chairman Masayoshi Son, aims to encourage the efficient utilisation of renewable energy sources across the region – for instance, powering Japan with wind and solar energy generated in Mongolia.