According to the Bank’s website, a growing global population and increased incomes are projected to lead to a 50% increase in demand for food by 2050 compared to 2012 levels. Fertilisers will need to play a pivotal role in meeting this increased demand, while also contributing to the global reduction in GHG emissions and support realising other sustainable development goals. Fertilisers are a significant contributor to GHG emissions, with an estimated 2.5% of global GHG emissions stemming from fertiliser production (1.3% from ammonia), distribution, and use. With increasing global production and application of fertilisers, the fertiliser industry must address the challenge of mitigating its GHG emissions while keeping pace with evolving global demand.

Fertiliser consumption is now six times larger than it was sixty years ago. This significant increase in the volume of fertiliser has contributed to the global food systems’ ability to provide for a growing global population. Despite these benefits, such rapid expansion in fertiliser production has implications on local environments and the global climate.

The European Bank for Reconstruction and Development (the “EBRD”), proposes a partnership with the International Fertiliser Association (“IFA”) to develop a roadmap for the global potash and phosphate fertiliser industry. The proposed collaboration will draw on the strengths of both organisations and builds upon previous collaboration on global and national sectoral low-carbon pathways for the nitrogen fertiliser sector.

The IFA is uniquely positioned to help guide the fertiliser industry to balance global food demands with the need to address climate change. With 480 members globally, including 50% from emerging and developing countries, the IFA can work with its members to instil a sense of ownership for the project while receiving their inputs throughout the project’s development. IFA’s members are also diverse with respect to sub-sectors within the fertiliser industry, with producers of plant nutrients for agriculture and technical products for industrial applications all represented. IFA’s Decarbonization Working Group, featuring over 50 members including the world’s largest phosphate and potash producers, has expressed eagerness for the development of new technical resources to support large-scale emissions reductions.

The key aim of this project is to identify both the policy and technology development and deployment actions needed to achieve a sustainable low-carbon future of the global potash and phosphates fertiliser industry, reducing or mitigating the impacts of the industry’s future development on climate change by progressing toward net zero emissions. Furthermore, this project would also be developed in an international climate policy and industrial competitiveness and food security context. Specifically, the objectives of this project are to:

a) Conduct a background analysis and articulate the potash and phosphates fertiliser industry’s baseline with respect to energy performance and carbon intensity (Scope 1, 2 & 3). The current impacts, technologies employed, and global market conditions of the potash and phosphates fertiliser industry will also be assessed. Particular attention should be given to EBRD’s countries of operation where phosphates and potash fertiliser production and consumption is most prevalent (Morocco, Tunisia, Egypt, Jordan, Türkiye, Central Asia).

b) Undertake a full and documented stakeholder engagement process through consultation with relevant stakeholders aimed to solicit a broad spectrum of views from industry, civil society and other stakeholders in the identification and articulation of mitigation solutions. This engagement should seek to build a sense of ownership for implementing the roadmap amongst industry representatives and affiliates. The consultant is expected to put forward innovative approaches to stakeholder engagement and dissemination of the work to maximise the impact of the roadmap. Stakeholders from key EBRD countries of operation should be included in the process.

c) Establish a roadmap for a sustainable low-carbon future of the global potash and phosphates fertiliser industry to 2050 to contribute to the Paris Agreement goals while ensuring food security (UN SDG 2), through a combination of introducing technologies and increased levels of enforcement of regulations. Develop examples of best practice in fertiliser production, as well as case studies of potential or realised low-carbon fertiliser transition.

d) Build consensus amongst stakeholders that leads to the long-term acceptance of the low-carbon roadmap, with the aim for the roadmap to be recognised by organisations such as SBTi and TPT in development of sector guidance.

e) Develop indicators and metrics for assessing and monitoring the industry’s performance in implementing the roadmap’s vision and recommendations.

The project will provide essential analysis and vision with a focus on the production phase of fertilisers, as well as recognising and analysing the impact of different practices in the use phase of fertilisers on the demand for such commodities. The analysis will point out additional areas of research and analysis in the use phase of fertilisers for potential subsequent efforts.

Investment amount not available at the time of disclosure.

ACCESS TO INFORMATION

You can request information by emailing: accessinfo@ebrd.com or by using this electronic form: https://www.ebrd.com/eform/information-request

No contacts available at the time of disclosure.

ACCOUNTABILITY MECHANISM OF EBRD

The Project Complaint Mechanism (PCM) is the independent complaint mechanism and fact-finding body for people who have been or are likely to be adversely affected by an European Bank for Reconstruction and Development (EBRD)-financed project. If you submit a complaint to the PCM, it may assess compliance with EBRD's own policies and procedures to prevent harm to the environment or communities or it may assist you in resolving the problem that led to the complaint through a dialogue with those implementing the project. Additionally, the PCM has the authority to recommend a project be suspended in the event that harm is imminent.

You can contact the PCM at: pcm@ebrd.com or you can submit a complaint online using an online form at: http://www.ebrd.com/eform/pcm/complaint_form?language=en

You can learn more about the PCM and how to file a complaint at: http://www.ebrd.com/work-with-us/project-finance/project-complaint-mechanism.html