Climate and environment

Emissions

We recognise the crucial role a reduction of our air emissions plays for environmental and economic reasons.

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We recognise the crucial role a reduction of our air emissions plays for environmental and economic reasons. Hence our consistent efforts to minimise harmful emissions. Particulate matter emissions can be reduced thanks to the use of wet scrubbers, cyclones, multicyclones and electrostatic precipitators; Reduced levels of gaseous pollutants are achieved by using scrubbers and thermal reducers, and thanks to the desulfurisation and NOx removal units.

Grupa Azoty S.A. measures emission volumes and concentration levels of pollutants released into the air in line with applicable laws and administrative requirements. As the in-house CHP plant and chemical plants have participated in the emissions trading scheme since 2005 and 2013, respectively, the Company has its annual reports verified and obtains rights on an annual basis.

Grupa Azoty monitors air quality at five sites across Tarnów on a continuous basis. The locations of the monitoring stations were selected to span the wide area that may be affected by particulate matter and gas emissions from the plant.

The main sources of GHG emissions at Grupa Azoty Puławy are the CHP plant as well as the ammonia and nitric acid manufacturing facilities, while the ammonium nitrate unit is the main source of dust emissions. In 2021, the ammonium nitrate unit was upgraded to manage waste gas emissions from the ammonium nitrate solution production unit. The construction of a complex of the first granulated ammonium nitrate production line was also completed, which added new products with a lower environmental impact (Pulan® Macro, Saletrzak (CAN), Pulmix®) to the company’s portfolio.

Grupa Azoty Police verifies its emissions data to check whether the units located at the plant operate in compliance with applicable laws.

Grupa Azoty Kędzierzyn conducts continuous and periodic measurements of particulate matter and gas emissions into the air, operates various equipment to limit emissions and complies with the reporting obligations.

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Total direct greenhouse gas (GHG) emissions and volume expressed as CO2 equivalent [t] (Scope 1) for the entire Grupa Azoty Group were 7.491 million tonnes of CO2e. The four key Group companies account for 99% of Scope 1 emissions: 7.424 million tonnes of CO2e.

Scope 1 carbon dioxide emissions [t]

Calculation methodology

  • The 2021 emissions were calculated using the GHG Protocol. Scope 1 includes: CO2, CH4, N2O, HFC and PFC. There were no emissions of SF6 or NF3. Base year = calculation year – 2021.
  • Biocarbon emissions (wood pellet fuel): 37.1 tonnes of CO2e.
  • Global warming potential: according to AR6.
  • An integrated approach has been applied – interest in capital with corporate supervision.

Carbon dioxide emissions include emissions from coal combustion and from the use of natural gas for heating and technological purposes. The emissions are calculated on the basis of the ETS.

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Total direct greenhouse gas (GHG) emissions and volume expressed as CO2 equivalent, by GHG category [t]1


Greenhouse gas category
20172018201920202021Zmiana 2020 vs. 2021
Grupa Azoty KĘDZIERZYN
Carbon dioxide
1,172,5691,163,3131,099,6241,075,6021,180,845
+9,8%
Nitrous oxide
111,608116,857103,92389,557143,100
+59,8%
Grupa Azoty POLICE
Carbon dioxide
1,653,9481,450,6441,204,7081,701,274
1,535,939
-9,7%
Nitrous oxide
00000-
Grupa Azoty PUŁAWY
Carbon dioxide
3,273,9913,313,3663,358,4543,211,0853,418,516
+6,5%
Nitrous oxide
171,882197,858211,111196,206236,320
+20,4%
Grupa Azoty S.A.Carbon dioxide
1,053,743971,748955,953928,640855,825
-7,8%
Nitrous oxide
106,884119,62655,92720,61854,192+162,8%
TotalCarbon dioxide
7,154,2516,899,0716,618,7396,916,601
6,991,125
+1,1%
Nitrous oxide
390,374434,341370,961306,381
433,611+41,5%


1 Emissions from installations covered by the EU ETS. A restatement was made relative to data presented in the non-financial report of the Grupa Azoty Group for the 12 months ended December 31st 2021.

The year-on-year reduction in carbon dioxide and nitrous oxide emissions reported by Grupa Azoty S.A. in 2021 was due to longer-than-expected scheduled maintenance shutdowns of the ammonia and nitric acid units.

The year-on-year increase in nitrous oxide emissions at Grupa Azoty Kędzierzyn in 2021 was attributable to frequent failures of the nitric acid unit that occurred during the year.

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The Group’s total indirect (Scope 2) greenhouse gas emissions were 1.837 million tonnes of CO2e. The four key Group companies are responsible for 85% of the Scope 2 emissions: 1.559 million tonnes of CO2e.

Scope 2 carbon dioxide emissions [t]

Calculation methodology

The calculation takes into account CO2 from the combustion of purchased fuels for the generation of imported energy. Base year = calculation year – 2021.
Global warming potential: according to AR6.
An integrated approach has been applied – ownership interest with corporate supervision.

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Greenhouse gas (GHG) emissions intensity2

CO2 and N2O emissions against the ETS benchmark and BAT recommendations [t]


Grupa Azoty KĘDZIERZYN
Grupa Azoty POLICE
Grupa Azoty PUŁAWY
Grupa Azoty S.A.

20202021202020212020202120202021
CO2 emissions intensity ratio [t CO2/t NH3]3
1.621.7081.8361.8391.699
1.7051.861
1.804
N2O emissions intensity ratio [kg N2O/t HNO3]
0.58
0.9964Na
Na0.767
0.98450.197
0.203


2 The GHG emissions intensity ratio relates to direct emissions from the ammonia unit only.
3 The GHG emissions intensity ratio relates to emissions from the ammonia unit only.
4 Grupa Azoty Kędzierzyn operates modern nitric acid production units which meet BAT requirements and emit N2O volumes below the benchmark level. The units experienced frequent failures in 2021, hence the significant increase in N2O emissions relative to previous years.
5 The increase in nitrous oxide emissions was attributable to deteriorated operation of catalyst kits and the emission reduction catalyst. The 2021 and 2020 ratios were significantly lower than the Best Available Techniques (BAT) recommendations for existing medium-pressure installations (1.85 kg N2O/tHNO3).

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Reduction of GHG emissions [MgCO2e]


2018201920202021
Grupa Azoty KĘDZIERZYN81,77344,6429,556
0
Grupa Azoty POLICE2,5001,06600
Grupa Azoty PUŁAWY
0000
Grupa Azoty S.A.52,354 63,699
35,30962,6167
Total136,627109,407
44,865
2,616


6 The value refers to 2019.
7 The value refers to 2020.

See how we reduce greenhouse gas emissions
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Grupa Azoty S.A.:
  • in late 2018 catalyst baskets were sealed at the Dual-Pressure Nitric Acid Unit, which helped reduce nitrous oxide emissions by over ten percent,
  • the company changed suppliers of catalytic gauzes and had catalyst baskets replaced in mid-2019, which helped achieve further significant emissions reductions.

The effectiveness of these measures is demonstrated by the 101,624 Mg reduction in CO2(e) emissions from the Dual-Pressure Nitric Acid Unit, from 119,626 Mg in 2018 to 18,002 Mg in 2021.

Grupa Azoty Kędzierzyn:

The Group is implementing capital projects related to the New Energy Concept, using process steam generated from ammonia production. The new system will help reduce emissions, with the start of operation scheduled for late 2022 and early 2023.

Grupa Azoty Puławy:

Listed below are the key capital investment projects designed to reduce emissions that were implemented in 2021:

  • construction of a water heater station for water from the Kurówka river at the Water Preparation and Pre-Processing Department using waste heat from the ammonia unit, 
  • upgrade of the circulation water system at the Ammonia Department, 
  • replacement and upgrade of the E-E2 stripper at the Urea 2 synthesis section,
  • upgrade of the unit for CO2 absorption in potassium carbonate solutions – Line IV of the Gas Pre-Treatment System, 
  • utilisation of waste gas from the ammonium nitrate solution production hub at the Ammonium Nitrate and UAN Department. 

The COemissions intensity ratio in ammonia production is stable at approximately 1.7 tCO2/t NH3 (CO2 emissions were calculated based on total natural gas consumption by the ammonia unit).

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Nitrogen oxides (NOx), sulfur oxides (SOx), and other significant air emissions, by type of substance (Mg)8


Grupa Azoty KĘDZIERZYNGrupa Azoty POLICEGrupa Azoty PUŁAWYGrupa Azoty S.A.

20202021202020212020202120202021
Ammonia (NH3)
268265385381984948.83249216
Sulfur dioxide (SO2)
7948111,7681,4829361,029409537
Carbon dioxide (CO2)
874,160870,9751,705,8791,528,0691,696,2941,836,010928,640893,054
Sulfuric acid (H2SO4)
005152007971
Volatile organic compounds (VOC)
35374.234424300
Methane (CH4)
159161006899
NO26937538227802,2302,4364,7794,580
Nitrous oxide (N2O)
30153900779796167199
Melamine dust
00006.36700
Urea dust
37638354262600
Ammonium nitrate dust
96970034029200
Ammonium sulfate dust
001.6827823
Particulate matter
1411510000101106
Particulate matter from fuel combustion
44612113133107819,6
Carbon monoxide (CO)
2642741281852011634936
Aliphatic hydrocarbons
141400412200
Fluorine compounds
89540.340.25400
Other419364100036.83117212213814


8 A restatement was made relative to data presented in the non-financial report of the Grupa Azoty Group for the 12 months ended December 31st 2021.
9 Chlorine and its inorganic compounds
10 Alcohols and aliphatic aldehydes, hydrogen chloride
11  Sulfur trioxide, hydrogen cyanide, benzene, aromatic hydrocarbons, hydrated lime dust, fertilizer dust, chlorine, mercury, nickel, chromium, lead, zinc, copper, cadmium, arsenic, PCDD/PCDF and PAH.
12 Sulfur trioxide, hydrogen cyanide, benzene, aromatic hydrocarbons, hydrated lime dust, fertilizer dust, chlorine, mercury, nickel, chromium, lead, zinc, copper, cadmium, arsenic, hydrofluorocarbons
13 Cyclohexanone
14 Cyclohexanol, cyclohexanone, sulfur trioxide, formaldehyde and other

See our position on CO2 emission allowances

We believe the green transition can happen in a fully effective way if EU and non-EU producers can compete on a level playing field in terms of climate policy costs. We are convinced that for the European Commission’s carbon border adjustment mechanism (CBAM) to bring the desired effects, it is necessary to maintain free emission allowances15. Otherwise, the position of non-EU businesses that do not observe the equally high environmental and climate protection standards will be strengthened. The key proposals in this respect were put forward by Grupa Azoty during a meeting of the representatives of Fertilizers Europe with Frans Timmermans, Executive Vice President of the European Commission. We stressed the need to support the green transition of European industry by helping the sector on the investment front, with a special focus on operating costs generated by zero- and low-carbon technologies in industrial applications.

The report towards a WTO-compatible EU carbon border adjustment mechanism is to ultimately put a carbon price on certain goods imported from outside the European Union based on carbon emissions associated with their production, similar to that paid by European producers under the existing emissions trading scheme. However, there is still uncertainty about how effective the proposed CBAM will prove to be. Foreign exporters will only pay a carbon price under CBAM for their exports to the EU, while their output sold on other markets will not be subject to any climate charges. For this reason, it is important that the introduction of CBAM does not put an end to free allocation of emission allowances for EU producers, together with support for RES. The lack of equivalent mechanisms may create a continuing financial incentive for consumers to buy more carbon-intensive goods imported from third countries that do not pursue the same ambitious climate policies, and thus ultimately increase global emissions rather than reduce them.

15 https://grupaazoty.com/aktualnosci/grupa-azoty-apeluje-o-rowne-warunki-konkurowania-producentow-unijnych-i-pozaunijnych-w-odniesieniu-do-kosztow-polityki-klimatycznej

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