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Energy Strategy for Inner Mongolia Autonomous Region Chapter j 18 367


             centers, (2) create enforcement incentives, (3) adopt green building (efficiency)
             standards, (4) invest in public transport, (5) increase peripheral green belts to
             counteract geological forces, (6) attempt to deemphasize the auto industry
             (individual vehicle ownership) in favor of mass transportation systems, and (7)
             use transitional cleaner fuels, like ethanol and biofuels, methanol, natural gas,
             propane, DME, and hydrogen, for transportation fuel and building power. The
             key, however, is to limit the capital costs for these systems to short and definable
             time frames.
             SUPPLEMENTAL RECOMMENDATIONS: RURAL INNER
             MONGOLIA
             Introduction

             Over half the population of IMAR lives outside the large cities. They face
             unique energy problems including lack of reliable grid electric power and poor
             access to heating and cooking fuels. Because of IMAR’s ample energy
             resources, these problems should be solvable in a way to improve the lives of
             the rural inhabitants and those in small villages, as well as those in urban areas,
             for the benefit of all.


             The Problem: Electricity
             In some cases, no grid power is available. In these situations, local renewable
             resources can be used to provide power for small clusters of homes or even
             nomadic encampments. However, because wind and solar are inherently
             intermittent, energy storage is critical. Such systems have been conceptualized
             and analyzed for other rural settings and villages in similar circumstances (see
             Isherwood et al., 2000; Andersen and Lund, 2006; among other publications).
                One general conclusion of earlier studies is that stand-alone systems can
             compete economically in remote locations with the costs of installing power lines
             and infrastructurefroma distance. Thechart (EnergyInternet,2004) demonstrates
             a comparison of the old central grideconnected energy “paradigm” with the new
             one, which is more “on-site” and distributed like the “Internet” (see Clark and
             Bradshaw, 2004).
                The basic costs of wind generation can compare favorably with other
             energy sources. Solar photovoltaic systems can be practical, as well, but cost
             more per unit of energy delivered. The initial costs of advanced energy storage
             technologies such as electrolysis of water and fuel cells remain fairly high
             today but are rapidly becoming commercially viable. Hence in this transition
             phase (see Transition is Uncertain Chart, Shell, 2001), external financing
             options may be necessary to initiate such projects with a focus on public and
             government as the “market” driver. Conventional batteries can suffice with low
             initial costs, but storing enough energy to provide power for extended periods
             will cost much more on a life cycle costing basis.
                New technologies such as anaerobic digestion (gasification) of waste can
             potentially provide power, along with heat and other fuels. Because of greater
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