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China

GE to supply Mongolia's first wind turbines

CHINA: GE has signed a 50MW turbine supply deal for Mongolia’s first wind project.

The Salkhit wind project is located 78km south of the capital, Ulaanbaatar. Its $80 million funding is being provided by the European Bank for Reconstruction and Development, and Newcom Group, a Mongolian telecoms company.

Newcom has signed a power purchase agreement with the Mongolian government for the wind farm. It will use GE 1.6MW turbines.

THe deal comes after September’s announcement that GE had formed a joint venture with Harbin Electric Corporation, a state-owned company, to build and supply wind turbines for the Chinese market.

GE was unable to reveal the cost of the turbines. Speaking about the deal, GE vice chairman John Rice said: "This is a milestone in the development of GE’s relationship with Mongolia and our teaming with Newcom."

Despite having last coal resources, Mongolia’s government has decreed that 20% of the country’s electricity should come from renewable sources by 2020.

It is estimated Mongolia could supply all of China’s electricity through wind power. Although this is the first project to be built in Mongolia, a large number of project have been developed in the Inner Mongolia autonomous region to the south.

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