F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

N2O Emissions reduction by the diffusion of Coated fertilizers for agricultural soils
ProponentJCAM AGRI, Marubeni

The fertilizers such as urea, ammonium sulfate that are widely used at the oil palm plantation in Malaysia and Indonesia but whose efficiency of utilization is low, lead to GHG emissions.

Overview
By promoting the diffusion of coating fertilizers with high efficiency by Japanese superior technology can reduce the amount of applied fertilizer and inhibit GHG emissions.

Study details
Methodology Re-assessment of baseline emissions Survey for expanding to eligible crops Feasibility study Verification of effectiveness of GHG emissions reduction by using coated fertilizersCultivation test Study of local production of coated fertilizers

Partner / Site
(1) Indonesia PT ASTRA AGRO LESTARI TBK (2) Malaysia Tropical Peat Research Laboratory Unit Chief Ministers Department, Sarawak KTS HOLDINGS SDN BHD

Measurement
Actual

Expected reduction rate; 40GHG reduction; 2.9milion MT-CO2/year After introduction

Amount of fertilization in half by using Coated fertilizers Indonesia & Malaysia Assumption of GHG emissions reduction (1000MT-CO2) 2,927

* assumed based on urea 50%, ammonium sulfate 50% Indonesia & Malaysia Area of Oil palm sulfate 1000ha 8,900 ammonium
Assumption of N2O emissions (1000MT-CO2)

4,812
2,930 7,742

Assumption of CO2 emissions (1000MT-CO2

Total 1000MT-CO2

F/S for Joint Crediting Mechanism Introduction technology outline Physical Property Coated Fertilizer CF is the fertilizer which coated spherical urea with resin. CF is good for the fertilization by machines because of spherical figure and sharp particle size distribution. CF is good for the blending because of nonabsorbent property. Content: total N 42% Color: white Figure: Spherical Particle Size: 2.4~4mm Density: 1.3 (Real density), 0.8 (Bulk density) pH: 7.0 Hardness: 2~3kg/particle Features Easy fertilization Only one time basal application For whole growth of crops. Low production cost Much fertilizer saving is possible By higher efficiency fertilization. Homogeneous High Quality Products Optimized fertilizer supply Lower Environmental Pollution Reduction of environment influence

CountryIndonesia, Malaysia

CategoryChemical

Segment Release Mechanism

The water moisture is taken into the particle through the membrane. The water taken in through membrane dissolves internal fertilizer. The water pressure in the CF particle is increased and urea solution leak out through the polymer membrane. Effect Duration

CF can control
the length of the effect continuance days the effect expression time with high precision.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Outline of Results
FY Feasibility Study

2010
A study about local production of CF in Indonesia or Malaysia was done as follows. Seeking a partner Calculation of profitability A methodology for monitoring, reporting verification (MRV) was developed. Urea, Ammonium sulfate, Ammonium nitrate and CF were studied as fertilizers in the methodology.

2011
The study was put on the review. Usage survey of slow release fertilizers in Indonesia and Malaysia was done.

2012
Market research of coated fertilizer in Indonesia . Study of the technical license to Indonesia or Malaysia.

Methodology

Additional studies were done for the methodology as follows. * Expansion of intended fertilizers * Expansion of eligible crops * Recalculation of the baseline emissions

Polish the methodology and make the format. Apply the methodology to tested plantations by using actual data. Verify the methodology by a third-party.

Cultivation Experiment

A cultivation test of oil palm (mature and immature) was started at a peaty soil and a sandy soil in Malaysia from Dec. 2010. (Reduction of fertilizer dosage by CF: 50%)

A cultivation test was started at a mineral soil in Indonesia from May. 2011. A cultivation test was started at the Tropical Peat Research Laboratory Unit in Sarawak from Sep. 2011.

Continue the cultivation experiments( one plantation in Indonesia and three plantations in Malaysia). Verify the reduction rate of fertilizer without decreasing growth and yield by using the coated fertilizer.

Verification

N2O Emission Measurement

After setting chambers at cultivation fields, N2O emission were measured three times.

Chambers were set at additional cultivation fields. N2O emission at cultivation fields were measured twice a month.

Measure and evaluate N2O emission at cultivation fields.

Soil Incubation Test

Three soils (Peaty soil, Sandy soil and mineral soil) with fertilizers were incubated in test tubes and evaluated N2O emission. (Pre-exam)

Above three soils with fertilizers were incubated in test tubes and evaluated N2O emission under three different moisture conditions.

Verify the N2O emission mechanism under the condition of nitrification or denitrification.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Emission from fertilizer application

World emission from fertilizers.
282 to 575 Mt-CO2 according to one study. About 1% of total anthropogenic GHG emission Mostly due to application of nitrogen fertilizers

Fate of nitrogen, according to IPCC 2006 GL

Volatilization: 70%, conversion to N2O: 1% Leach/runoff: 30%, conversion to N2O: 0.75% Possibly a considerable heterogeneity Therefore, application of 1t of nitrogen results in 9t-CO2eq in N2O emissions. Therefore, reduction of N fertilization contributes to considerable reduction of emissions.

Other source of emissions can be significant

Ammonia production consumes substantial energy Nitric acid production emits N2O Urea production consumes energy, and the carbon fixed in urea is released as CO2. These upstream emission can contribute to up to 20% of total emission (urea, ammonia)

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Role of coated fertilizers

By controlling the release of nutrients, coated fertilizers increase the amount of nutrients utilized. Therefore, less fertilizer is necessary. GHG implications
Avoidance of GHG emissions due to fertilizer applications. Avoidance of GHG emissions due to fertilizer production. Increase of GHG emissions due to production and application of coating material (PE: eventually released as CO2). Decrease of other GHG emissions (fertilizer transport)

Other benefits on sustainability

Prevention of eutrophication due to decrease in nitrogen runoff.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Methodological aspects
Eligibility criteria.
The project is the application of coated fertilizers using polyethylene-derived coating material (project participants can demonstrate intended fertilizers). Applicable to agricultural fields with no history of using coated fertilizers, and where synthetic fertilizers are predominantly used. Record of historical fertilizer application (characteristics, quantity of consumption) for the past 3 years is available, or there is a fertilization standard applicable to the particular crop, age and planting condition, issued from the government or an authoritative organization. For fertilizer applied post-project, information on its chemical composition, type of nitrogen compound or nitrogen quantity is obtainable. Crops planted after the project is the same type or combination of crops in the previous three years.

Requirements
Data on past and present fertilizer use must be ensured. Coated fertilizer should not offset organic fertilizers (since unused organic fertilizers will remain unused, causing possible methane emissions).

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Methodological aspects
Reference emissions
Based on historical fertilizer application. A simple three year average.
High heterogeneity of fertilizer application makes it impossible to determine reference/baseline emissions as a function of project emissions.
AP NitroAP Urea AN AS CN KN MAP DAP TSP SSP MOP SOP LiqUAN 0.96 1.02 1.67 0.11 1.23 1.44 0 0 0 0 0.15 0.15 1.21

Default emission factor of fertilizer (t-CO2/t-compound)

upstream NH3 1.46 downstream 7.39 0.99 0.76 4.15 3.15 1.89 1.40 1.26 0.99 1.62 0 0 0.00 0.00 2.88 Total 8.85 0.99 1.72 5.17 4.82 2.00 2.63 2.70 0.99 1.62 0 0 0.15 0.15 4.09

Reference unit emissions is the lower of (average historical emissions per yield) and (average historical emissions per area) based on historical fertilizer application.
In this way, conservativeness is assured.

Emission factor of fertilizer Includes upstream emissions when fertilizer composition is known. Includes only downstream emissions when fertilizer composition is not known.

Calculation based on Published data by IFA

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Methodological aspects
Project emissions
Based on actual application of fertilizer. Emission factor of fertilizer similar to reference emissions. Emission due to coating material (4.64t-CO2/tcoating) No leakage emissions

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Applications and implications

Tentative applications
Oil palm plantations expected to be the first mover in coating fertilizer application. Simunjan (Malaysia):2,755ha
Reference: 1,528t-CO2 Project: 1,088t-CO2 Emission reduction: 440t-CO2

Tatau (Malaysia):9,155ha
Reference: 9,971t-CO2 Project: 4,986t-CO2 Emission reduction: 5,890t-CO2

Carbon footprint study

Bananas (Central America to Europe): Fertilizer production 4.4%, fertilizer application 5.7% of total carbon footprint. Palm in SE Asia: Fertilizer production 6.5%, fertilizer application 7.2% of total carbon footprint. Fertilizer is already a significant component of product carbon footprint.
Possible incentive to introduce coated fertilizers.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Business Potential
Potential demand for coated urea in Indonesia and Malaysia is estimated to be about 4.3 million tons. Potential demand for coated urea for the oil palm plantation market is estimated to be about 0.7 million tons or about 16% of the total.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

Feasibility study for local production of coated fertilizer

Establishing 50,000Mt capacity of MEISTER-MX (Blended fertilizer) plant including 30,000Mt capacity of coating urea was evaluated. Some problems became clear to build the plant in Indonesia or Malaysia as follows.
+Raising the rate of reduction of fertilizer for MEISTER is necessary in terms of economic viability of the invest. + An incentive to credit acquisition by fertilizer reduction for plantation isnt clear. +Local urea producers in Indonesia and Malaysia prefer getting only production license of coated fertilizer than to have joint venture business.

F/S for Joint Crediting Mechanism

CountryIndonesia, Malaysia

CategoryChemical

What remains to be studied

Market research of the coated fertilizer in Indonesia Study of the technical license to a local company in Indonesia or Malaysia