Renewable Heating Virtual Article 6 Pilot

The NewClimate Institute proposes a virtual Article 6 pilot in Khovd, Mongolia, to replace coal-based district heating with ground source heat pumps (GSHP). The project aims to reduce GHG emissions and air pollution while testing the application of Article 6 carbon market mechanisms, arguing that the project is additional due to high upfront costs and low local technological maturity.

• The proposed pilot project in Khovd, Mongolia, involves replacing coal-based district heating in apartment buildings with ground source heat pumps (GSHP). This transition is expected to accelerate the retirement of an old heat plant, lower GHG emissions, reduce air pollution, and create synergies with efforts to provide affordable permanent housing for ger (yurt) populations.
• The implementation of GSHP in Mongolia faces barriers including a lack of technical expertise for installation and maintenance, low familiarity with the technology, and high upfront costs compared to other heating options. However, GSHP may offer lower total costs over a 20-year lifetime depending on the cost of capital.
• The project is considered 'additional' because of its high upfront costs and low market penetration in Mongolia and neighboring countries. Consequently, exporting the mitigation outcomes and applying a corresponding adjustment would not hinder Mongolia's domestic climate action or its ability to achieve its Nationally Determined Contribution (NDC).

APA

NewClimate Institute (2020). Renewable Heating Virtual Article 6 Pilot. https://newclimate.org/resources/publications/renewable-heating-virtual-article-6-pilot

Chicago

NewClimate Institute. Renewable Heating Virtual Article 6 Pilot. 2020. https://newclimate.org/resources/publications/renewable-heating-virtual-article-6-pilot.

Wikipedia

{{cite report |author=NewClimate Institute |title=Renewable Heating Virtual Article 6 Pilot |date=29 January 2020 |url=https://newclimate.org/resources/publications/renewable-heating-virtual-article-6-pilot |access-date=17 August 2026 |via=Climate Insights Directory}}

BibTeX

@techreport{newclimateinstitute2020renewable, author = {{NewClimate Institute}}, title = {{Renewable Heating Virtual Article 6 Pilot}}, institution = {NewClimate Institute}, year = {2020}, month = jan, url = {https://newclimate.org/resources/publications/renewable-heating-virtual-article-6-pilot}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }