As someone deeply engaged over the last two years in the water sector of Ulaanbaatar, Mongolia, I have read much about the significant demographic changes in the city, with its population increasing by over 70% in the last two decades. This rapid urbanization has led to an exponential rise in water demand, projected to triple by 2050. Addressing this looming challenge, the World Bank's Water Department, in collaboration with the 2030 Water Resources Group and supported by the Korean Green Growth Trust Fund, have embarked on a groundbreaking idea—to facilitate Mongolia’s first industrial water recycling proposal that is also a public–private partnership, and in the process distill policy recommendations for the government of Mongolia’s considerations to scale up such initiatives.
Ulaanbaatar’s Water Challenge
Ulaanbaatar constitutes 70 percent of Mongolia’s total drinking water demand, heavily relying on groundwater sources. With approximately 500 factories discharging around 44,000 m³ of wastewater daily into the Central Wastewater Treatment Plant, often without adequate pre-treatment, the strain on the city’s wastewater infrastructure is evident. Addressing this, the activity focuses on transforming waste into a resource, paving the way for a sustainable, circular water economy.
A Creative Solution: Repurposing Wastewater
The activity’s innovative approach targets critical urban issues. In the 17th Khoroo of Bayanzurkh District, annual property damage from aufeis (seasonal ice formations) collectively costs residents about US$55,000. Nearby in the vicinity, MCS Coca-Cola LLC’s factory discharges 511 m³ of treated wastewater daily into the sewer, while Amgalan Thermal Plant’s (ATP) expansion has led to an increased water demand up to 1,300 m³ per day during the heating season. The activity aims to mitigate these challenges by using intercepted groundwater (reducing the impacts of aufeis), and treated wastewater from MCS Coca Cola’s factory to meet ATP's water requirements.
The technical solution includes constructing a pipeline to transport treated wastewater from the factory to ATP and building an onsite water treatment plant to ensure a consistent supply of high-quality water.
In facilitating the technical analysis and regulatory requirements to enable such a scheme to exist, various stakeholders including the public, industries and regulatory authorities were engaged early in the process. Facilitation of the dialogue has led to a series of learnings that are distilled into a policy recommendation report, aimed at encouraging more industrial water recycling initiatives to develop.
Policy Recommendations: Scaling Up for Impact
The recently published Policy Recommendations for Scaling Up Industrial Water Recycling in Ulaanbaatar offers a blueprint for expanding water recycling initiatives. Key recommendations include:
- Setting Clear Policy Goals: Integrating time-bound industrial water recycling targets into national policies.
- Regulatory Coherence and Enforcement: Strengthening regulatory frameworks and resourcing enforcement bodies to ensure compliance.
- Agency Coordination: Empowering the National Water Council to foster collaboration across government entities.
- Valuing Water Appropriately: Addressing pricing distortions and enforcing water license compliance.
- Industry Engagement: Providing clear incentives and recognition programs for industries adopting water recycling.
- Improving Financial Viability: Leveraging contributions from beneficiaries and polluters to fund water recycling projects.
These recommendations align seamlessly with Mongolia’s Vision 2050 and the Government Action Plan for 2024–2028. On a local scale, they support the Ulaanbaatar City General Development Plan for 2040, the Mayor's Action Plan for 2020–2024, and the Master Plan for City Engineering Preparation Measures 2040. All these frameworks underscore the critical role of water recycling in enhancing and delaying the need for extensive infrastructure investments.
The Path Ahead
In a recent stakeholder event, representatives from energy and water sector agencies gathered in Ulaanbaatar to endorse the project’s vision. The signing of a memorandum of understanding between the directors of ATP and MCS Coca-Cola formalized their commitment to implementing this initiative, marking Mongolia’s first water-sector public–private partnership project.
The comprehensive policy recommendations set out in the report highlight the critical need for sustainable water management strategies in Ulaanbaatar. By fostering collaboration and engaging stakeholders, Mongolia is leading the way in innovative water recycling practices, ensuring sustainable water services for its growing urban population.
As we move forward, the lessons learned and the frameworks established through this project will serve as a blueprint for others facing similar challenges in Ulaanbaatar.
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