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Agriculture
Tadeo Ruiz Sandoval

A Minnesota grant aims to kickstart domestic green fertilizer production

An experimental tractor designed to use ammonia as fuel.
A wind turbine that provides electricity to make nitrogen fertilizer stands tall at the University of Minnesota West Central Research Center near Morris, Minn., on June 4, 2019. The Minnesota Department of Agriculture is seeking to grant funds to co-ops interested in investing in green fertilizer production facilities, like the research center in Morris.
Dan Gunderson | MPR News file

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Making fertilizer can be quite a dirty business.

Nitrogen fertilizers used by Minnesota farmers are typically produced abroad and rely on fossil fuels. Globally, this type of fertilizer production makes up about 2 percent of all greenhouse gas emissions, said Minnesota Department of Agriculture Energy and Environment section leader, Megan Lennon.

“So the state of Minnesota Green Fertilizer Grant Program is trying to help develop a new industry in Minnesota where nitrogen fertilizer can be made from renewable energy and not use fossil fuels as a source,” said Lennon.

Green fertilizers are nitrogen-based fertilizers produced using renewable energy, such as wind and solar, which could help reduce greenhouse gas emissions.

A graph showing how green fertilizer is produced
A graph shows how green fertilizer is produced. Renewable energy, such as wind, powers a device that uses electricity to split water into hydrogen and oxygen. An air separator removes nitrogen from the air and combines it with hydrogen to produce ammonia, a nitrogen fertilizer.
Courtesy of the Minnesota Department of Agriculture

For the past two years, the Minnesota Department of Agriculture has offered grants to ag co-ops interested in investing in green fertilizer manufacturing. But so far, they haven’t been able to find competitive applicants.

“This is our third time releasing a request for proposals,” said Lennon.

The agency is offering $3.8 million in grants to shovel-ready agricultural and rural electric cooperatives. Lennon said that if they can find qualified applicants, it could mark the beginning of domestic fertilizer production in the state outside of manure.

Starting up a domestic fertilizer industry in Minnesota could help provide farmers with local, price-stable fertilizer options. That’s especially important, Lennon adds, as market consolidation and international price shocks often drive up fertilizer prices.

a wind turbine against a blue and white sky
A wind turbine towers over a research center in Morris. Wind is one of the renewable energy sources used to produce green fertilizer.
Dan Gunderson | MPR News

“Minnesota farmers spend millions of dollars every year on fertilizer, and that money is going to other states or even other countries,” said Lennon. “[Fertilizer] is a highly consolidated business, so we're able to provide rural economic opportunities as well, not just in the jobs that could come out of this, but keeping money in the state and circulating locally.”

Applicants may request between $250,000 and the full $3.8 million. Applications are due by 4 p.m. on July 15.