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</o:shapelayout></xml><![endif]--></head><body lang=EN-CA link=blue vlink=purple><div class=WordSection1><p class=MsoNoSpacingCxSpFirst>Dear Friends<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>This is an MCA report (MCC’s Millennium Challenge Account in Mongolia). I have been unable to locate the original website containing this article, only the first section. It was forwarded to me by Cecil Cook. I have largely edited out the non-stove portions of the report in order to shorten it. If someone needs the whole thing please contact me directly.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpLast>In very brief, the project involves selling improved stoves at a substantial discount in return for the traditional stove replaced which is crushed. Those who need the small cost financed can get a soft loan, the cost of which is covered by carbon trading (by the Banks). It also covers the cost of advertising, vending/demo centres and anything to do with reaching deep into the target communities.<o:p></o:p></p><p class=MsoPlainText><span style='mso-fareast-language:EN-CA'><o:p> </o:p></span></p><p class=MsoNoSpacingCxSpFirst>Regards<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>Crispin<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpLast>+++++++<o:p></o:p></p><p class=MsoPlainText><span style='mso-fareast-language:EN-CA'><o:p> </o:p></span></p><p class=MsoNoSpacingCxSpFirst>MONDAY, FEBRUARY 13, 2012<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>50,000 households using low-smoke stoves<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>The Clean Air Project of Millennium Challenge Account – Energy and Environment Project is working to reduce air pollution of Ulaanbaatar by making buildings more energy efficient, by improving insulation in Ger district homes, and by promoting the use of energy efficient stoves.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>The project is making available 80,000 energy efficient stoves at reduced prices to Ger district households this winter. 70,000 are being supplied by Selenge Construction LLC and 10,000 by Royal Ocean LLC.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>So far the clear favorite is Royal Ocean’s “Dul” model. People prefer the “Dul” because it is easy to set up and can be used with a traditional Mongolian cooking pot. But because the “Dul” is not as widely available, long lines often form at stores where it is sold.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>The companies have supplied 50,000 stoves to residents of five districts of the capital so far. If a typical household has four or five family members, the project is serving about 200,000 citizens.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Employees of the companies selling the stoves give customers safety advice and lessons on how to use the stoves. They also get feedback from customers who have used the stoves. Therefore, the number of people using the stoves improperly or unsafely is reduced.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Also, the companies are cooperating with state organizations, the Clean Air Project, and the Clean Air Fund to organize a public-awareness campaign to teach people how to use the stoves properly.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Posted by Economy & Finance at 6:10 PM <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>MILLENNIUM CHALLENGE ACCOUNT-MONGOLIA<span class=apple-tab-span> </span><o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>1. PROJECT BRIEF<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Background<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Mongolia has an extremely harsh winter climate with an eight-month heating season. Midwinter (late December and early January) daytime temperatures range between -10C to -30C, and can drop to as low as -40C at night. Ulaanbaatar, where nearly half of the population lives, is the coldest capital city in the world. There is severe winter air pollution in Ulaanbaatar. At levels two to ten times the international standards, air pollution is a major cause of serious respiratory problems among urban residents. Those especially at risk include the poor, undernourished, very young, elderly, people with preexisting respiratory disease and people with other health diseases. An estimated 90 percent of Ulaanbaatar air pollution comes from the ger areas, which tends to include lower income households. The primary source of air pollution is from the burning of raw coal for space heating in inefficient stoves to heat poorly insulated traditional gers and small homes.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>In December 2009, the Government of Mongolia submitted new project proposal to reduce air pollution in Ulaanbaatar to Millennium Challenge Corporation (MCC). The MCC Board of Directors approved an amendment to the Compact to include the Energy and Environment Project (EEP). The Compact Amendment was signed by U.S. and Mongolian governments on 2 February, 2010.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Project goal<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>The goal of the project is to decrease air pollution in Ulaanbaatar city by introducing energy efficient products and energy efficient house in the Ger district that will reduce smoke emission and by supporting production of renewable energy sources.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Main areas of activity<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• Consumer subsidies for energy efficient products and certified homes that have met set standards and/or otherwise demonstrated a superior efficiency over previous models;<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>• Technical assistance in testing, market, economic, and other analysis of products to be supported; <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>• Replacement and rehabilitation of inefficient Heat Only Boilers (HOBs), which are one of the major sources of air pollution in Ulaanbaatar; <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>• The Grants Program:<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>households; <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>2) Air quality research: Support research of new initiatives and technologies to improve air quality.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle> <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Expected results<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• Coal consumption of Ger district residences in Ulaanbaatar will decrease.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>• Air pollution in Ulaanbaatar will decrease, therefore, reducing health complications and <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle> productivity loss that result from pollution.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>2. ACHIEVEMENTS AND IMPLEMENTED WORK <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• Within the scope of the project, the campaign work for selling the energy efficient products with consumer subsidy was carried out in altogether 50 sub-districts of Chingeltei district, Sukhbaatar district, Bayanzurkh district, Songinokhairkhan district, Bayangol district and Khan Uul district where there is more density of air pollution. Over 110’000 families live in the sub-districts. <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• As the date of March 12, 2012 altogether 85’480 the energy efficient products are sold; including 63’057 improved stoves, 17’915 ger insulations, 4’422 vestibules and 86 energy efficient homes. It is the indication that the EEP could involve the most or a huge number of the families than other projects and programmes which were implemented and being implemented for reducing air pollution.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• The number of the families which bought the energy efficient stoves (which emites less smoke) is compared with the total families of the sub-districts where the project is being implemented. The statistics is shown below: 80% in Chingeltei district, 70% in Sukhbaatar district, 70% in Bayanzurkh district and 70% in Songinokhairkhan district.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>• <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>The fuel consumption of the families which use the energy efficient stoves properly is decreased up to 30%, the smoke from the chimney is decreased up to 80% and the coal consumption of the families which use the ger insulation and energy efficient houses is decreased up to 40%.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>• 13% of the family head citizens is women. 28 % of the households who involved in the EEP is the family head women.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- The EEP implemented the work to sell energy efficient products, ger insulations and vestibules among the residents of 11th and 12th sub-districts of Chingeltei district in September 2010 as a pilot. The pilot was carried out successfully so project activity was commenced in 45 sub-districts of Chingeltei, Sukhbaatar, Bayanzurkh, Songinokhairkhan and Bayangol districts of Ulaanbaatar city since June 2011. The project offered and sold the energy efficient products such as the improved stoves, the complex insulation for ger, vestibules and the energy efficient houses in with subsidized price to the families through the Product centers in each sub-district. Since November 2011, totally 5 sub-districts of Khan-Uul, Chingeltei and Sukhbaatar districts began involved a new in project and have been implementing the work to sell the energy efficient products in 50 sub-districts of 6 districts of the city. The work for selling the energy efficient products was completed within the period from June 2011 till March 2012. <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- The one source of the air pollution factors is over 180 big sized HOBs which distribute heating power and are located in ger districts. The most of the mentioned stove is made on the outdated technology, inefficient and has more smoke emitting. The EEP will replace 15 HOBs which pollute the air. <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>3. COOPERATION <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Governmental organizations <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- The National Committee for air pollution reduction has been collaborating with the Millennium Challenge Account – Mongolia (MCA-Mongolia) in order to provide the coherence between the air pollution projects, programs and activities.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- Collaborating with the Governor’s office of the Capital city according to the memorandum in order to modernise the big sized HOBs, to develop information of the families which will be involved in project, to involve the governmental and adminsitrative organisations actively into activity for selling the energy efficient products of the project.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- By the decree of the Board of administration of “Clean Air Fund” of Mongolian Government, bonus for energy efficient stove purchase, cost discount of families electricity consumption were issued by “Clean Air Fund” for the citizens, who live in air quality improvement zone of the capital city and bought the energy efficient products, particularly improved stoves of the EEP. <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Donor organizations<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>The contractors of the project <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle> <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle>- Under the subsidy delivery activity for the energy efficient products, the MCA-Mongolia has been cooperating with “Khas” and “Khaan Bank” having established the contract to sell energy efficient products to ger district households, to transfer the payment and to carry out consumer monitoring.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>Energy efficient products and homes supplier companies <o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- “Selenge Construction” and “Royal Ocean” companies established agreement with the MCA-Mongolia to supply energy efficient “Khas”, “Ulzii”, “Golomt”, “Dul” stoves and are responsible for installing and distributing the stoves.<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>[snip]<o:p></o:p></p><p class=MsoNoSpacingCxSpMiddle><o:p> </o:p></p><p class=MsoNoSpacingCxSpMiddle>- The “Egel Tansag” and “Urguu Engineering” companies established agreement with the MCA-Mongolia to demolish the used stoves which were collected from the consumers within the EEP in order to ban traditional stoves from the market.<o:p></o:p></p><p class=MsoNoSpacingCxSpLast><span style='font-family:"Calibri","sans-serif";color:windowtext'><o:p> </o:p></span></p></div></body></html>