AEA Low Carbon Ammonia Certification Discussion Paper PDF
AEA Low Carbon Ammonia Certification Discussion Paper PDF
AEA Low Carbon Ammonia Certification Discussion Paper PDF
LOW-CARBON
AMMONIA
CERTIFICATION
Copyright © 2021 Ammonia Energy Association. All rights reserved.
GHG Emissions—Scope....................................................................................................................... 12
Regulations........................................................................................................................................... 17
Establishment Timeline......................................................................................................... 21
Background
The Ammonia Energy Association (AEA) is a global non-profit
industry association that promotes the responsible use of ammonia in a
sustainable energy economy.
The AEA’s mission encompasses both the quantify the absolute greenhouse gas (GHG)
decarbonization of ammonia for existing emissions associated with ammonia production
applications, including fertilizers, chemicals, and enable prospective producers and consumers
explosives, and other industrial processes, as well to trade ammonia on the basis of certified,
as the adoption of low-carbon ammonia in new transparent, and verifiable emission reductions.
applications, including direct use as a fuel for
electric power generation or maritime transport Established in 2004, the AEA has unrivaled
and indirect use as a hydrogen carrier, enabling knowledge, networks, and credibility to establish
a new, global trade in low- and zero-carbon the vision for ammonia as a global, tradable,
energy. sustainable energy commodity. AEA members
include over 130 corporations, international
The AEA is seeking to facilitate the and cross-sectoral, including a significant
establishment of a globally harmonised proportion of current and future ammonia
Certification Scheme for Low-Carbon producers, as well as many first-movers in
Ammonia (the Certification Scheme) to support consumer industries for ammonia energy, across
the development of a market for low- and zero- maritime, power, fertilizers, chemicals, and other
carbon ammonia. The Certification Scheme will sectors.
During September and October 2021, the AEA remain open. The AEA will continue to collect
is soliciting feedback from its Members and key stakeholder input on an ongoing basis, and
Stakeholder Organizations on the development expressions of interest in joining a Working
of its proposed Certification Scheme. In Group or proposing a pilot project are
addition, the AEA invites any interested encouraged at any time.
party to submit feedback through the Survey
(ammoniaenergy.org/certification). Any information received by the AEA through
the Survey will be used for the purpose of
To be considered within the initial consultation, informing the development of the Certification
feedback must be received by end of day on Scheme. Survey responses will be shared with
Sunday, October 31, 2021. The Steering Group AEA staff and other individuals participating
will then oversee the preparation of a work plan in AEA committees, including its Certification
and assign participants to our Working Groups. Steering Group and Working Groups, and
The AEA anticipates that the Working Groups may be made publicly available. Confidential
will begin to execute their scopes of work in or commercially sensitive information should
November. not be shared through this Survey; please
contact the AEA Certification Project Manager
While the initial Consultation Phase will have (certification@ammoniaenergy.org) if you wish
concluded in October 2021, the Survey will to discuss sensitive information.
Strategic Objectives
The AEA is seeking to facilitate the establishment of a globally harmonised Certification Scheme for
Low-Carbon Ammonia to support development of the market for low- and zero-carbon ammonia. The
Certification Scheme will quantify the absolute greenhouse gas (GHG) emissions associated with ammonia
production, and enable prospective producers and consumers to trade ammonia on the basis of certified,
transparent, and verifiable emission reductions.
General
The proposed Certification Scheme aims to support the adoption of a globally harmonised framework
for the accounting, reporting, and verification of the carbon intensity of ammonia (tCO2e/tNH3) as
the basis for certification of emission reductions associated with the implementation of low-carbon
ammonia initiatives, through the following reporting and certification activities:
During Registration and Reporting, the Scheme will quantify an absolute carbon intensity for ammonia
produced at a specific site. In addition to carbon intensity, other metrics will be critical to report, including
origin, inputs, co-products, technology pathway, and date of manufacture.
To satisfy different markets in different jurisdictions, the Certification Scheme may need to provide metrics
that satisfy a range of categories or taxonomies that may not be harmonized.
IFI TWG – AHG-003 International Financial Institutions Guideline for a Harmonised Approach to
Greenhouse Gas Accounting, v0.2.0 INTERIM, June 2021
Well-to-Gate (mandatory)
Well-to-Tank (optional)
Well-to-Wheel/Wake (optional)
We expect that the initial pathways defined during the development of the Certification Scheme will be
paired with a commitment from AEA member companies to pilot the protocol for each pathway.
This work will create opportunities to promote cohesion and reduce friction between the Certification
Scheme and other regulations, standards, or certifications. This will require extensive relationship-building
with international regulatory organizations relevant to the AEA scheme.
Ultimately, this work stream will lead to the characterization of ammonia and definitions of key terms
and classifications, according to the taxonomies or thresholds required by end users and the policies
under which they operate.
Alongside the Steering Group, the AEA proposes to invite key partners to form an Advisory Group
consisting of non-member organizations and stakeholders. This will include Global partners who will
be critical for international harmonization and adoption. Regional partners may play a critical role in
developing, piloting, and implementing the scheme, and this includes both government agencies and trade
associations. Additionally, certain kinds of Commercial partners may also play a critical role in delivering
the scheme, such as certification bodies, verification agents, or trading platforms. This is the non-industry
group.
The Steering Group and Advisory Group will together oversee the development and execution of the
Certification Scheme workplan by three Working Groups: “Principles and Methods,” “Pathways,”
“Regulations.”
The AEA proposes to develop the Certification Scheme under the direction of these three working
groups, each consisting of representatives from AEA Member companies, partner organizations, and
key institutional stakeholders. These three working groups will be established and begin in earnest in
November 2021.
Ammonia Third-party
production audit
Certification Registry
issued
Carbon intensity
calculation
Methodology Approval
Project Registration
Verifiers/Assessors Accreditation
Responsibilities
Financial Institutions
Trading Organizations
Customers
PLATINUM: CF Industries*, The Hydrogen Utility*, InterContinental Energy*, KBR*, LSB Industries,
Monolith Materials, Mitsui & Co., Nutrien*, OCI*, Yara*. GOLD: Acron, AFC Energy, Airgas, Aker Clean
Hydrogen, Asian Renewable Energy Hub, Casale*, Enaex, Engie, Equinor, Fortescue Future Industries,
FuelPositive, Haldor Topsøe*, Hamilton Locke, Hydrofuel, Mitsubishi Heavy Industries, Origin Energy*,
Proton Ventures*, Ridley Terminals, Starfire Energy*, Syzygy Plasmonics, thyssenkrupp Industrial
Solutions*, Trammo, Tri-State Generation & Transmission. SILVER: AES Gener, Air Products, Ammonigy,
AmmPower, Amogy, Argus Media, BASF, Black & Veatch, Bureau Veritas, Burns & McDonnell, Casa dos
Ventos, CDI Engineering, Consorcio Eólico, CRU Group, CS Combustion Solutions, Cummins, EIFER,
Enterprize Energy, Fertiberia, GenCell Energy, GTI, Gunvor Group*, H2Site, Horisont Energi, HyFuels
Holdings, Intecsa Industrial, Linde, Lotte Fine Chemical, Maersk*, Mercuria, MineARC Systems, Nel
Hydrogen*, OGS Global, Organics Group, Pacific Green Technologies, SagaPure*, Schoeller-Bleckmann
Nitec, Shell, Sperre Industri, Stamicarbon, Thorium Energy Alliance*, TotalEnergies*, Tsubame BHB,
Wabash Valley Resources, Wonik Materials, Woodside Energy. MEMBERS: AHMON, Air Liquide,
Airthium, Apex Clean Energy, Ark Energy, Arizona Public Service, Arranged, AustriaEnergy, BLG,
Brittany Ferries, C-Job Naval Architects, Carbon-Neutral Consulting*, CHZ Technology, Cozairo, Cura
IT, Danaos Shipping, Duiker Combustion Engineers, Energy Estate, Eneus Energy, ESNA, Exmar,
Gaztransport & Technigaz, George Propane Inc, GESCA, Greenfield Nitrogen, Idemitsu Kosan, Incitec
Pivot, Ingenostrum, IT Power Australia, JGC Holding Corporation, John Cockerill, Jupiter Ionics, MAN
Energy Solutions, MicroEra Power*, Nebraska Public Power District, Netsco, New Energy Technology,
Nordex, Northern Nitrogen, NYK Energy Transport (USA), Oceanic Vessels, Osaka Gas USA, Renewable
Hydrogen Corporation Canada, SAFCell, SBM Schiedam, Syntex, Terrestrial Energy, Unconventional Gas
Solutions, UPC\AC Renewables, Varo Energy, Vopak.