Clean fertiliser for climate action
Agriculture is a driver of climate change. The use and production of mineral fertiliser is a particular source of harmful emissions. These are produced from nitric acid, among other sources. GIZ is working in 11 countries to address this problem.
In Georgia, the agricultural industry is being modernised to protect the climate: GIZ is helping fertiliser companies there to produce in a climate-friendly way by using modern catalytic converters and exhaust technology. Our partner, the chemical company Rustavi Azot, is saving around 430,000 tonnes CO₂ equivalent of emissions every year thanks to new technology – the equivalent of the emissions generated by more than two million passenger flights from Tbilisi to Berlin. Rustavi Azot has invested the same amount in climate protection technology from its own funds as GIZ. The company will bear the costs of system maintenance and operating resources that arise over the next few years. As Manoj Kumar, Chief Technical Representative of Rustavi Azot, explains: ‘The partnership is designed to set the benchmark for how industry and its partners can accelerate decarbonisation.’
Why is fertiliser production in particular such a key lever for climate action? This is because the sector generates greenhouse gases that damage the climate more than shipping and aviation together. Nitric acid forms the basis for manufacturing mineral fertiliser – but nitric acid production also emits nitrous oxide (N₂O) as an unwanted by-product, a greenhouse gas that is many times more harmful than CO₂. Ten years ago, the German Federal Environment Ministry thus launched the Nitric Acid Climate Action Group (NACAG), through which GIZ works on behalf of the ministry to support governments and the chemical industry worldwide in making nitric acid production more climate friendly. The aim is to reduce the emission of nitrous oxide. To achieve this goal, GIZ builds bridges between industry, politics and the market. It advises the operators of nitric acid plants on how to plan, install and operate N₂O reduction technology. Countries that undertake a firm commitment to reduce emissions permanently can obtain financial support for purchasing the technology – 11 plants are currently benefiting from this scheme.
At the same time, GIZ advises partner governments on suitable instruments for permanently reducing emissions from nitric acid production. Specifically, we are conducting studies on potential policy instruments (e.g. emission limits, emission trading systems and tax exemptions) – either internally or in cooperation with a local institute. The aim is to identify solutions that are well suited to the country in question. This work is carried out in close coordination and cooperation with the relevant ministries that will subsequently be responsible for implementing the instruments they have chosen.
NACAG is also having success with this work at policy level: 11 countries – including not only Georgia, but also Mexico, Uzbekistan and Tunisia – have already undertaken to implement climate-friendly production on a long-term basis. Policy decisions that set the course for the future are a key lever, because they mean that entire countries and industries work together to improve the climate. One example is Mexico, where the the Ministry of the Environment and the Ministry of the Economy have teamed up to help make the industrial sector more climate friendly by creating relevant incentives for the private sector. Nitric acid plants are being modernised and nitrous oxide emissions significantly reduced. Fertiliser production is thus making a measurable contribution to climate action.
11 countries have committed to climate-friendly nitric acid production on a long-term basis.
10 countries have included the reduction of N₂O from nitric acid production in their Nationally Determined Contributions (NDCs), thus mainstreaming the objective at policy level.
2.6 million tonnes of CO₂ equivalent (CO₂eq) are saved each year as a direct result of the initiative – equal to the emissions from around 2 million transatlantic flights.
An additional 6 million tonnes of CO₂eq are avoided in the long term because the technology has been permanently adopted.
Average investment costs: €2 per avoided tonne of CO₂eq – considerably less expensive than in other branches of industry.
The initiative shows that smart investments make climate protection effective – with expertise, partnership and modern technology. Through targeted cooperation with the private sector, even the emission-intensive fertiliser industry can contribute.