The report “Roadmap for Distributed Green Ammonia in Minnesota” prepared by RMI summarises:
Minnesota is uniquely positioned to take advantage of DGA. The current centralized ammonia production system can provide farmers with low-cost fertilizer, but also exposes farmers to price volatility and supply chain disruptions. Localized, distributed ammonia production can complement the existing system to hedge against negative outcomes as well as reduce emissions from fertilizer production.
To enable the deployment of DGA projects in the state, credible consortia with effective business models and targeted policy support should be prioritized. Critically, easier access to capital tools, supplementary subsidies to offset the initially higher production cost of green ammonia, certification schemes to differentiate green ammonia from conventional production, faster permitting tracks, and in-state workforce training need to be introduced to fully realize the benefits and opportunities presented by DGA in the state.
The cost of DGA is likely to fall rapidly as modular, containerized systems are able to take advantage of lessons learned by the first systems to be deployed and of rapid, iterative improvements in manufacturing. The successful implementation of DGA projects in Minnesota and beyond hinges on collaborative efforts, innovative solutions, sound business models, and robust policy frameworks. By addressing these areas of further work and seizing opportunities, Minnesota can unlock the full potential of DGA and pave the way for a sustainable future in agriculture and beyond.
Access the complete report here