TOPIC PAGE: Sustainability in the fertilizers industry
Updated on 11 May.
On this topic page, we gather the latest news, analysis and resources, to help you to keep track of developments in the area of sustainability in the fertilizers industry.
LATEST NEWS HEADLINES
Japan’s JGC Holdings awards green
ammonia plant contract to
By Jonathan Lopez 11-May-22 16:50 MADRID (ICIS)–KBR is to license its green ammonia technology and provide basic engineering to JGC Holdings’ new plant in Japan, the US engineering services firm said on Wednesday.
US ReMo Energy launches green ammonia
product to address fertilizer cost and climate
By Mark Milam 10-May-22 23:03 HOUSTON (ICIS)–US company ReMo Energy has announced the launch of its first commercial product, a renewable fertilizer which it says addresses the combined challenges of high fertilizer costs and climate change.
Norway’s Yara evaluates potential stock
listing of Yara Clean Ammonia unit on Oslo
By Nurluqman Suratman 04-May-2022 SINGAPORE (ICIS)–Yara is evaluating a potential initial public offering (IPO) of its Yara Clean Ammonia (YCA) business on the Oslo Stock Exchange, the Norwegian fertilizer major said on Wednesday.
Saskatchewan government extends 4R
Nutrient Stewardship agreement for three more
By Mark Milam 29-Apr-22 17:25 HOUSTON (ICIS)–The government of Saskatchewan announced it has re-signed a 2016 memorandum of co-operation (MOC) with Fertilizer Canada to continue their 4R Nutrient Stewardship efforts in the province for an additional three years.
Anuvia Plant Nutrients secures funding
to scale US production of sustainable
By Mark Milam 27-Apr-22 19:57 HOUSTON (ICIS)–Fertilizer manufacturer Anuvia Plant Nutrients has announced it raised $65.5m to increase production capacity at its US based manufacturing facility and expand commercialization of its bio-based fertilizers.
Verde AgriTech announces technology to
incorporate microorganisms in fertilizer
By Mark Milam 26-Apr-22 19:53 HOUSTON (ICIS)–Verde AgriTech announced that it has created a new technology that enables the incorporation of microorganisms to Verde’s multinutrient potassium fertilizers branded as Bio Revolution.
Bayer to partner with Ginkgo to produce
By Erica Sesay 25-Apr-22 12:10 LONDON (ICIS)–Germany’s Bayer AG and US-based biotech company Ginkgo Bioworks are pursuing an agreement to produce more environmentally friendly nitrogen fertilizers and agricultural solutions.
OCI looking to expand Texas nitrogen
output and create renewable fuel
By Mark Milam 21-Apr-22 23:09 HOUSTON (ICIS)–Fertilizer producer OCI is looking at expanding its existing ammonia and methanol complex located near Beaumont, Texas, by adding increased nitrogen production. The company is also planning a renewable fuel plant which will convert lumber waste synthesis gas which would then be turned into methanol that OCI would utilise to create renewable gasoline.
Australia Orica and H2U Group partner
on Gladstone green ammonia
By Mark Milam 12-Apr-22 20:59 HOUSTON (ICIS)–Australian fertilizers and explosive manufacturer Orica and H2U Group (H2U) have announced a strategic partnership agreement to initiate the first phase of the proposed H2-Hub Gladstone green ammonia project in Queensland.
Canada sets tax credit of up to 60% for
carbon capture projects
By Stefan Baumgarten 08-Apr-22 15:50 TORONTO (ICIS)–Canada’s federal government will grant a tax credit of up to 60% for investments in carbon capture, utilisation, and storage (CCUS) projects.
Keras Resources increases ownership of
the Diamond Creek Phosphate Mine in
By Mark Milam 04-Apr-22 22:37 HOUSTON (ICIS)–Mineral resource company Keras Resources announced that it now owns 100% of Falcon Isle Resources and Falcon Isle Holdings which owns the high-grade Diamond Creek organic phosphate lease and mine and the Spanish Fork processing facility in Utah.
UK delays urea restrictions to support
farmers as fertilizer costs at record
By Deepika Thapliyal 30-Mar-22 10:23 LONDON (ICIS)–The UK has delayed introducing restrictions on the use of urea by at least a year to support farmers with fertilizer availability and keep their costs down, the nation’s Department of Environment, Food and Rural Affairs (DEFRA) said.
EU CARBON BORDER ADJUSTMENT MECHANISM (CBAM) EXPLAINED
What is it?
The risk of carbon leakage frustrates the EU’s efforts to meet climate objectives. It occurs when companies transfer production to countries that are less strict on emissions, or when EU products are replaced by more carbon-intensive imports.
This new mechanism would counteract this risk by putting a carbon price on imports of certain goods from outside of the EU.
How will it work?
EU importers will buy carbon certificates corresponding to the carbon price that would have been paid, had the goods been produced under the EU’s carbon pricing rules.
Conversely, once a non-EU producer can show that they have already paid a price for the carbon used in the production of the imported goods, the corresponding cost can be fully deducted for the EU importer.
This will help reduce the risk of carbon leakage by encouraging producers in non-EU countries to make their production processes greener.
A reporting system will apply from 2023 with the objective of facilitating a smooth roll out and to facilitate dialogue with non-EU countries. Importers will start paying a financial adjustment in 2026.
How is the fertilizer industry affected?
The fertilizer industry is one of the sectors to fall under the CBAM.
The more energy-intensive nitrogen fertilizers will be affected most in the sector by the mechanism.
DEFRA CONSULTATIONS EXPLAINED
The UK’s Department for Environment, Food & Rural Affairs (DEFRA) launched a consultation at the beginning of November 2020 on reducing ammonia emissions from urea fertilizers. The consultation ran until 26 January 2021.
It set out three options for tackling ammonia emissions:
- A total ban on solid urea fertilizers
- A requirement to stabilise solid urea fertilizers with the addition of a urease inhibitor.
- A requirement to restrict the spreading of solid urea fertilizers to between 15 January and 31 March of a given year.
Liquid urea is excluded from any new rules or restrictions.
DEFRA is currently analysing the feedback received.
In March 2022, DEFRA announced that it had delayed introducing restrictions on the use of urea by at least a year to support farmers with fertilizer availability and keep their costs down
Should DEFRA decide to restrict the use of urea in the future, growers would be left with just ammonium nitrate-based fertilizers.
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