TOPIC PAGE: Sustainability in the fertilizers industry

Erica Sesay

17-Jan-2022

Updated on 17 January.

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

India’s Reliance to invest $80bn in green energy projects
By Priya Jestin 17-Jan-22 04:41 MUMBAI (ICIS)–India’s petrochemical major Reliance Industries Ltd (RIL) plans to invest Indian rupees (Rs) 5.95tr ($80bn) in green energy and other projects in western Gujarat state as it aims to achieve its net zero carbon emissions target by 2035.

Yara, Sweden’s Lantmannen aim to commercialise green ammonia by 2023

By Jonathan Lopez 13-Jan-22 13:43 MADRID (ICIS)–Yara and Swedish agriculture co-operative Lantmannen are aiming to commercialise ammonia produced with renewable energy by mid-2023, the Norwegian fertilizers major said on Thursday.

Novatek and Uniper target Russia to Germany blue-ammonia supply chain
By Richard Ewing 22-Dec-21 12:14 LONDON (ICIS)–Russia’s Novatek and Germany’s Uniper on Wednesday agreed a term sheet (non-binding deal) for the long-term supply of up to 1.2m tonnes/year of low-carbon (blue) ammonia, primarily for the German market.

Fertz giant Yara goes green with electrification of Norwegian factory
By Richard Ewing 17-Dec-2021 LONDON (ICIS)–Scandinavian fertilizer major Yara was on Friday granted the local equivalent of $32m for a green ammonia initiative at its large Herøya plant in Norway that will see hydrogen produced from renewable energy rather than liquefied fossil gas.

Canada Arianne Phosphate exploring use of phosphate for hydrogen technology
By Mark Milam 16-Dec-21 20:56 HOUSTON (ICIS)–Arianne Phosphate announced it is working with the University of Quebec at Three-Rivers (UQTR) to assess the use of Arianne’s high-purity phosphate concentrate in electrolysers that produce hydrogen for use in hydrogen fuel cells.

FAO and IFA renew MoU to promote sustainable fertilizer use
By Erica Sesay 13-Dec-21 17:05 London (ICIS)–The UN’s Food and Agriculture Organization (FAO) and the International Fertilizer Association (IFA) renewed their Memorandum of Understanding (MoU) on Monday, agreeing to promote the sustainable use and management of fertilizers.

Sumitomo Chemical, Yara to explore clean ammonia collaboration

By Nurluqman Suratman 10-Dec-2021 SINGAPORE (ICIS)–Sumitomo Chemical and Norwegian fertilizer major Yara have agreed to explore a potential tie-up to advance the use of clean ammonia, the Japanese producer said on Friday.

US fertilizer producer Mosaic broadening environmental stewardship commitment

By Mark Milam 09-Dec-21 21:48 HOUSTON (ICIS)–US fertilizer producer Mosaic said it is broadening its commitment to environmental stewardship by announcing targets to achieve net-zero greenhouse gas emissions in Florida by 2030 and companywide by 2040.

OCI and Navigator strike CO2 transportation and storage deal in Iowa
By Richard Ewing 29-11-21 LONDON (ICIS)–Iowa Fertilizer Company (IFCo) facility has teamed up with Navigator CO2 Ventures to provide CO2 transportation and storage services on the latter’s carbon capture and storage (CCS) system, the Heartland Greenway, IFCo’s Dutch parent OCI disclosed on Monday.

Sri Lanka revokes ban on imports
By Deepika Thapliyal 24-Nov-21 10:47 LONDON (ICIS)–The private sector will be permitted to import chemical fertilizers including urea, nitrates, phosphates and potash from today, Agriculture Minister Mahidananda Aluthgamage said.

Fertz major Yara launches world’s first electric and self-propelled container ship
By Richard Ewing 19-11-21 LONDON (ICIS)–The world’s first electric and self-propelled container ship – Yara Birkeland – on Friday made its maiden voyage in the Oslo fjord, Norwegian fertilizer major Yara announced.

Australia’s Woodside secures site for green ammonia/hydrogen project

By Richard Ewing 12-Nov-21 12:11 LONDON (ICIS)–Australia’s Woodside said Friday it had secured land for its proposed H2TAS hydrogen plant, as the energy producer looks to develop large-scale production of green (renewable) hydrogen and ammonia.

Australia’s Fortescue to convert offshore vessel to run on green ammonia

By Richard Ewing 11-Nov-21 12:50 LONDON (ICIS)–Australia’s Fortescue Future Industries (FFI) on Thursday announced that a high-tech vessel powered almost completely by green ammonia will hit the water in 2022.

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. Should it decide to restrict the use of urea, that would leave growers with just ammonium nitrate-based fertilizers.

PREVIOUS  NEWS HEADLINES

Sri Lanka encourages transition to organic fertilizer at COP 26

Tokyo scientists convert bioplastic into nitrogen fertilizer

Aramco plans Saudi green hydrogen, ammonia project

China announces action plan for carbon peaking & neutrality

Saudi Aramco targets net zero emissions from operations by 2050

BLOG: China provides major climate hope as latest IEA report underlines that it is all about the developing world

Fertiglobe goes green with Red Sea zero-carbon ammonia pro

Australian fertilizer major Incitec Pivot teams up for green ammonia study

Yara partners up to explore clean ammonia bunkering and distribution in Japan

Fertilizer Canada concerned cutting fertilizers to meet emissions target could impact farmers

Yara and Kyushu Electric Power explore clean ammonia collaboration in Japan

INTERVIEW: BASF to scale up new decarbonisation tech in second half of decade – CEO

Australian Minbos Resources completes bulk sample from Cabinda Phosphate project

India asks fertilizer companies to speed up production of nano DAP

Japan’s Itochu set to receive first cargo of blue ammonia for fertilizer use

Norway’s Yara acquires recycled fertilizers maker Ecolan

Bayer Funds US start-up aims to cut nitrogen fertilizer use by 30%

ADNOC concludes fresh sale of blue ammonia from the UAE to Japan

Ostara Nutrient Recovery Technologies selects St Louis for new Crystal Green fertilizer facility

India to launch $1.35tr infra plan, enhance green hydrogen output

Norway Yara partners with Aker, Statkraft to launch green ammonia firm

Blue and green ammonia to advance rapidly

BP: Green ammonia production in Australia feasible, but needs huge investment

Origin and MOL explore shipping green ammonia from Australia

India’s IFFCO seeks to export nano urea fertilizer

Sri Lanka reinstates ban on import of chemical fertilizers

Nutrien to cut greenhouse gas emissions 30% by 2030

READ MORE

ICIS Premium news service

The subscription platform provides access to our full range of breaking news and analysis

Contact us now to find out more

Speak with ICIS

Now, more than ever, dynamic insights are key to navigating complex, volatile commodity markets. Access to expert insights on the latest industry developments and tracking market changes are vital in making sustainable business decisions.

Want to learn about how we can work together to bring you actionable insight and support your business decisions?

Need Help?

Need Help?