The Industrial Transition Accelerator (ITA) and #Systemiq co-hosted a high-level roundtable last week on 𝘜𝘯𝘭𝘰𝘤𝘬𝘪𝘯𝘨 𝘎𝘳𝘦𝘦𝘯 𝘍𝘦𝘳𝘵𝘪𝘭𝘪𝘴𝘦𝘳 𝘐𝘯𝘷𝘦𝘴𝘵𝘮𝘦𝘯𝘵𝘴 𝘪𝘯 𝘉𝘳𝘢𝘻𝘪𝘭, in partnership with the Australian Embassy in Brasília, the The Australia-Brazil Chamber of Commerce - ABCC and Atlas Agro. At the event, we presented a proposal for a Contract for Difference (CfD) for green fertilisers - a powerful tool to catalyse investment in Brazil’s first wave of low-emission projects. 𝗛𝗲𝗿𝗲'𝘀 𝘄𝗵𝘆 𝗶𝘁 𝗺𝗮𝘁𝘁𝗲𝗿𝘀: 🏭 Green fertiliser projects using green hydrogen could already be competitive in Brazil - but volatile market prices make investors hesitate. 💷 A well-structured CfD can provide revenue certainty, unlocking private capital at no long-term cost to counterparties. 🏛️ Supporting CfDs for green fertilisers would be a smarter, more cost-effective way to reduce Brazil’s dependence on imports than subsidising conventional production. The strong interest from government, finance, and civil society shows real momentum towards making green fertilisers a reality in Brazil. Huge thanks to Ambassador Sophie Davies and the DFAT team for hosting, our speakers - Petter Østbø, Valeria Noleto, Elbia Gannoum, Rodrigo Santana, Maria Gabriela da Rocha Oliveira, and Jose Carlos Polidoro - and the #Systemiq team, Mathias Becker, Giulia Tonon, Leo Barlach, Beatriz Makssoudian Ferraz, Gustavo Raschke Rameh, and Marc Farre Moutinho for representing #ITA. We’re also grateful to our partners at the Green Hydrogen Organisation - GH2 and MDIC for their continued support. #GreenFertiliser #GreenHydrogen #Brazil
Last week, the Australian Embassy in Brasilia, the The Australia-Brazil Chamber of Commerce - ABCC, Atlas Agro, and the Industrial Transition Accelerator had the pleasure of co-organising a roundtable on “Unlocking Investment in Green Fertiliser in Brazil”. With #COP30 taking place in #Brazil in just a couple of months, the discussion was a timely one. Nitrogen fertilisers account for 2% of global emissions but constitute a vital input for agriculture, a sector of particular importance to Brazil, representing 24% of its national economy. Reducing emissions from fertiliser production and use presents a challenge, but also a green economic opportunity. Against this backdrop, Sophie Davies, Australian Ambassador to Brazil, opened the roundtable, and was followed by an excellent lineup of speakers touching on a number of key issues. Valeria Noleto, from the ABCC, and Elbia Gannoum, of ABEEólica - Associação Brasileira de Energia Eólica Onshore e Offshore e Novas Tecnologias and COP30 Special Envoy for Energy, highlighted green fertiliser as a prime example of the type of solutions that COP30 should bring to the table. Petter Østbø and Rodrigo Santana from Atlas Agro, showcased their Uberaba Green Fertiliser project in Brazil as a flagship example seeking to produce low-emissions fertiliser from green hydrogen at commercial-scale. Mathias Becker, from Systemiq Ltd., spoke on behalf of the ITA about the financing challenges facing green fertiliser projects and how proven but innovative solutions such as revenue certainty mechanisms could be applied to mitigate risk and unlock investment. After an insightful discussion moderated by Maria Gabriela da Rocha Oliveira from Atlas Agro, closing remarks were given by Jose Carlos Polidoro from Brazil’s Ministry of Agriculture and Livestock (MAPA) about the contribution that green fertiliser could make to the country’s strategic goals. Brazil today is dependent on imports of fossil fuel-based fertiliser, for up to as much as 95% of its nitrogen fertiliser needs, so domestic green production offers a compelling solution to reduce its import dependency and the associated economic and environmental risks. Our heartfelt thanks to the Embassy for hosting the event, our colleague and Brazil lead, Marc Farre Moutinho, our co-organisers, the attendees, and to our partners at Brazil’s Ministry of Development, Industry, Trade, and Services (MDIC) for their continued support. The ITA looks forward to continuing our collective efforts to make #greenfertiliser a reality in Brazil and beyond.
