(2022-12-14-ний өдрийн орчуулга)                                             Unofficial translation

LAW OF MONGOLIA

November 26, 2015                                                                                  Ulaanbaatar city

 ON ENERGY CONSERVATION

CHAPTER ONE

GENERAL PROVISIONS

Article 1.The Purpose of the Law

1.1.The purpose of this Law shall be to regulate relations concerning energy conservation and efficient use of energy.

Article 2.Legislation on Energy Conservation

2.1.The legislation on Energy Conservation shall consist of Law on Energy, Law on Renewable Energy and other laws and legal acts enacted in conformity with them.

2.2.If the international treaties to which Mongolia is a party, stipulates otherwise than this Law, then the provisions of the international treaties shall prevail.

Article 3.Definitions of terms of the Law

3.1.In this law, the following terms shall have the following meanings:

3.1.1."Energy" means is as defined in sub-paragraph 3.1.1 of the Law on Energy;

3.1.2."Energy conservation" means a measured and calculated difference in amounts of energy consumed prior to and after taking action, for the purpose of energy conservation;

3.1.3."Energy efficiency" means the ratio between total energy input and useful energy output that are used during the manufacturing of goods or products, performing works or rendering services;

3.1.4."Energy audit" means independent activities of analyzing the use of energy by citizens, business entities and organizations, and drawing conclusions, giving recommendations for improving energy efficiency;

3.1.5."Energy auditing agency" means any legal entities which holds a license for auditing and provides services stated in sub-paragraph 3.1.4 of this law;

3.1.6."Energy auditor" means any person, who holds a license for energy auditing service;

3.1.7."Professional organization providing energy efficiency services" means an enterprise authorized to perform energy saving and its efficiency improvement works and provide services to obliged consumers and citizens, enterprises, and organizations per their requests;

3.1.8."Obliged consumer" means any legal entity whose energy usage is above the energy consumption threshold as defined by the Government;

3.1.9."Energy conservation manager" means a competent employee, who is authorized to work for persons, entities or organizations stated in sub-paragraph 3.1.8 of this Law.

CHAPTER TWO

 POWERS OF STATE AUTHORITIES WITH REGARD TO ENERGY CONSERVATION

Article 4.Powers of the State Great Khural

4.1.The State Great Khural shall formulate the state policy on energy conservation.

Article 5.Powers of the Government

5.1.The Government shall exercise the following powers with regard to energy conservation:

5.1.1.to ensure and organize implementation of the state policy and legislation on energy conservation;

5.1.2.to approve the national energy conservation program;

/This sub-paragraph was revoked by the law of December 17, 2021/

5.1.3.to approve regulations stated in sub-paragraph 9.1.9 of this law.

Article 6.Powers of the state central administrative body

6.1.The state central administrative body shall exercise the following powers with regard to energy conservation and increasing efficiency:

6.1.1.to organize and ensure the implementation of legislations and decisions on energy conservation;

6.1.2.to specify and approve norms and standards for buildings, equipment, appliances, services and materials, and for generation, transmission and distribution of energy regarding energy efficiency and its conservation;

6.1.3.to develop the implementation plan of the state policy on energy conservation and submit its performance to the Energy conservation council.

Article 7.Powers of Governors of aimags, soums, the capital city, and districts

/This title of this article was amended by the law of April 22, 2022/

7.1.Governors of aimags, soums, the capital city, and districts shall organize implementation of legislation on energy conservation and decisions issued by the authority in charge, in conformity with this legislation.

/This paragraph was amended by the law of April 22, 2022/

7.2.Governors of aimags, soums, the capital city, and districts shall define local policies on energy conservation and implement them in cooperation with relevant organizations.

/This paragraph was amended by the law of April 22, 2022/

7.3.Governors of aimags, soums, the capital city, and districts shall submit progress reports of the implementation related to energy conservation to the Energy conservation council.

/This paragraph was amended by the law of April 22, 2022/

Article 8.The Energy conservation council

8.1.The Energy Regulatory Commission shall exercise powers of the Energy conservation council which has duties of regulating and implementing policies on energy conservation.

8.2.In the structure of the Energy Regulatory Commission, there is a special unit responsible for the implementation of energy conservation policies.

Article 9.Powers of the Energy conservation council

9.1.The Energy conservation council shall exercise the following powers:

9.1.1.to facilitate the implementation of the state policy and legislation regarding energy conservation at the national level;

9.1.2.to formulate national programs regarding energy conservation;

9.1.3.to collect the annual report and performance of the work done on usage and conservation of energy from the obliged consumer;

9.1.4.to register obliged consumers;

9.1.5.to grant or terminate an accreditation for energy auditing agencies and professional organizations for providing energy efficiency services;

9.1.6.to grant a right for energy auditors and energy managers;

9.1.7.to create a database regarding efficient use of energy and its conservation, advertise it to the public and organize public awareness campaign;

9.1.8.to organize trainings and specializing programs for energy auditors and energy conservation managers;

9.1.9.the Energy conversation council shall formulate the following regulations:

9.1.9.a.regulations for energy auditing activities stated in paragraphs 13.3 and 13.4 of this Law;

9.1.9.b.regulations for accreditation procedures and requirements for the energy auditing agency and professional energy organizations;

9.1.9.c.regulations for organizing trainings for energy auditors and energy conservation managers, and granting and revoking a certificate;

9.1.9.d.regulations for classification, grading, labeling and monitoring the energy powered products, such as machineries, electronic equipment, home appliances regarding their energy consumption;

9.1.9.e.regulations for determining obliged consumers, their energy conservation plans, development methodology and reporting procedure;

/This sub-paragraph was amended by the law of December 17, 2021/

9.1.9.f.regulations for providing support and incentives to citizens, enterprises, and organizations that built energy-efficient buildings and/or manufactured and/or imported machineries, equipment, goods, and materials, and/or made the energy conservation by increasing the energy efficiency;

9.1.9.g.other applicable rules and regulations.

9.1.10.to prepare implementation reports of the energy conservation policy and its legislation, and submit it to the Government annually;

9.1.11.to resolve any dispute regarding professional services of energy conservation in accordance with its jurisdiction.

9.2.The Energy conservation council can authorize non-governmental organizations to carry out its functions stated in sub-paragraphs 9.1.7 and 9.1.8 of this Law .

CHAPTER THREE

RIGHTS AND OBLIGATIONS OF ENERGY CONSUMERS

Article 10.Rights and obligations of obliged consumers

10.1.Obliged consumers shall have the following rights:

10.1.1.to select an energy auditing agency;

10.1.2.to demand a reasonable explanation regarding conclusions and recommendations of energy auditing;

10.1.3.to selectively implement recommendations stated in sub-paragraph 13.4.2 of this Law;

10.1.4.to receive incentives for implementing energy conservation measures.

10.2.Obliged consumers shall have the following obligations:

10.2.1.to conserve energy and use it efficiently;

10.2.2.to conduct the energy audit for its energy consumption;

10.2.3.to develop and implement an energy conservation program and work plan for its organization;

10.2.4.to submit a report of energy auditing and a report of implementation of the program of energy conservation to the Energy conservation council annually;

10.2.5.to appoint and dismiss an energy conservation manager, and notify the Energy conservation council of it within 14 days in writing;

10.2.6.to submit complaints related to energy professional services to the Energy conservation council.

Article 11.Powers of citizens, legal entities and organizations

11.1.Citizens, legal entities and organizations shall have the following power and obligations:

11.1.1.to get advice from an organization that provides professional services in the field of energy conservation;

11.1.2.to get a voluntary audit service of an energy consumption.

Article 12.Incentives

12.1.Citizens, legal entities and organizations who built energy-efficient buildings and/or manufactured and/or imported energy-efficient machinery, equipment, products and materials, or made an energy conservation by increasing energy efficiency, shall receive incentives pursuant to sub-paragraph 9.1.9.e of this Law, and sub-paragraphs 6.1.6, 6.1.8, and 6.1.11 of the Law on Air.

CHAPTER FOUR

ENERGY CONSERVATION SERVICES

Article 13.Energy auditing agency, energy auditor

13.1.Energy auditing agency and energy auditor shall conduct their energy auditing services on the basis of accreditation.

13.2.Energy auditing activity shall be regulated as provided in sub-paragraph 9.1.9.a of this Law.

13.3.Energy auditing agency and energy auditor shall have the following rights:

13.3.1.to obtain necessary explanations and materials from obliged consumers in the course of auditing;

13.3.2.to audit and provide conclusions on energy consumption upon request of citizens, legal entities and organizations.

13.4.Energy auditing agency and energy auditor shall have the following obligations:

13.4.1.to audit and provide conclusions on energy consumption upon request of citizens, legal entities and organizations;

13.4.2.to calculate, analyze, and make conclusions about the energy consumption and efficiency of obliged consumers;

13.4.3.to provide technical feasibility and economic efficiency recommendations to obliged consumers.

Article 14.Professional organizations which conduct energy efficiency services

14.1.Professional organizations providing energy efficiency services shall conduct activities related to the support of efficient energy consumption on the basis of accreditation.

14.2.Professional organizations providing energy efficiency services shall conduct its professional services based on a contract entered into with the obliged consumer.

14.3.Professional organizations providing energy efficiency services may invest when providing energy efficiency services, and bear risks of it.

Article 15.Energy manager

15.1.Energy manager shall have a certificate confirming its power.

15.2.Energy manager shall have the following rights and obligations:

15.2.1.to comply with orientations given by the Energy conservation council in his/her operations;

15.2.2.to organize and ensure the implementation of the plan of the obliged consumer regarding its energy conservation and energy efficiency;

15.2.3.to monitor an energy conservation operation of the obliged consumer;

15.2.4.to submit an implementation report to the Energy conservation council annually;

15.2.5.to participate in qualification trainings organized by the Energy conservation council.

CHAPTER FIVE

MISCELLANEOUS

Article 16.Liabilities for violators

16.1.If the act of an official who violates this law is not criminal, he/she shall be liable as provided in the Law on Public services.

16.2.Any person or legal entity who violates this law shall be held liable under the Criminal Code or the Law on Violations.

16.3.Fines were imposed on violators of the Law on Energy Conservation shall not be a reason to eliminate the violation or to be exempted from the liability of compensating for the damage caused to others due to the violation.

/This article was modified by the law of May 11, 2017/

Article 17.Entry into force of the Law

17.1.This Law shall be enforced on November 26, 2015.

THE CHAIRMAN OF THE STATE GREAT KHURAL OF MONGOLIA Z.ENKHBOLD