From energy guzzler to catalyst for change: how a Spanish fertiliser plant is revitalising rural Aragon

May 20th, 2025 • Massimiliano Saltori

In the high-energy world of fertiliser production, a pioneering plant in Teruel, Aragon is showing how cleaner technologies can reshape a carbon-heavy industry. Set in a once-thriving coal town now emblematic of rural decline, the site is becoming a local engine of innovation and inclusion.

From a market perspective, EU fertiliser use has remained steady for decades, thanks to slower population growth and gains in agricultural efficiency. At the same time, awareness of fertilisers' environmental impact has grown at the policy level, while the rising cost of natural gas—the main raw material for nitrogen fertilisers—has become significantly more expensive in Europe than in other regions. In short, while the old continent still hosts major players in the fertiliser industry, ongoing structural shifts are forcing these same companies not just to adapt, but to fundamentally transform. One of them is Spain's Fertinagro Nutrigenia, based in Utrillas—a small municipality in the province of Teruel, Aragon.

Once an important coal town, today Utrillas sits at the heart of the often maligned España vacía—literally, "empty Spain"—named after its deep and ongoing depopulation. In a way, it's Europe's version of the American Rust Belt—where future demographic and industrial renewal depends more and more on innovation. Case in point, Fertinagro is currently a key participant in the EU-funded FlexIndustries project, which is testing industrial-scale solutions for decarbonisation, energy flexibility, and smarter resource use. At the helm of Fertinagro's role in the FlexIndustries project is Luis Carlos Correas Usón, an engineer specialising in energy transition technologies.

How has Spain's fertiliser industry fared since the energy crisis?

Well, fertiliser use itself in Spain has dropped by about 20%. High gas prices pushed up the cost of ammonia, and when fertilisers get too expensive, farmers simply cut back. Low crop prices and two very dry seasons didn't help either. A lot of land was left fallow. That said, Spain luckily also focuses a lot on high-value crops for the European market. That's helped keep demand for more advanced fertilisers fairly steady.

Speaking of costs, are things going back to normal?

The fertiliser sector has weathered past crises—like in 2008 and 2012—and usually bounces back once prices settle. The 2022–2023 crunch followed a similar pattern: it hit hard but didn't cause lasting damage. What's different now is the growing pressure to cut emissions. And since there's still no real substitute for natural gas in nitrogen fertilisers, low-carbon and renewable ammonia could play a key role going forward. So, this isn't just a temporary shock—it's the start of a deeper shift.

Especially since this is quite the energy-intensive industry.

True, but Spain has a real edge when it comes to renewables. There's strong solar potential, and self-consumption rules make it easy for companies to produce their own power. That's opening up real opportunities—especially when paired with batteries. The main challenge now is the grid. As more renewables come online, the system gets strained. The recent blackout showed we'll need smarter grid management, stronger infrastructure, and better rules for things like demand response.

Can you tell us about Fertinagro's role in the FlexIndustries project? How did this collaboration come about?

We've always had a strong focus on environmental and energy issues, so joining FlexIndustries made sense. We've worked with European consortia before and had several collaborations with Fundación CIRCE. When they approached us about adding a new demonstrator site, it felt like a great chance to get involved and bring our industrial know-how to the table.

What makes the Utrillas plant a good fit for a demonstration project like this?

The Utrillas plant is where we produce our speciality fertiliser products. Unlike our other sites, which tend to focus on a single process like rotary drying and a narrow product range, this one is much more versatile. It handles a variety of processes, so it's a great testing ground for improving flexibility and efficiency.

Can you walk us through the processes you're testing at the Utrillas plant?

We're working on two main processes. One is the production of monopotassium phosphate, which involves neutralising acid and then drying the solution using a rotary dryer at over 300°C. To improve efficiency, we've added an air preheater that recovers steam to cut gas use. The other is acid hydrolysis, used to make biostimulants from animal by-products. It's a heat-intensive, batch process, so we're testing new preheating and cooling systems to save energy and reduce cycle time. Both processes are heavy on thermal energy—drying alone accounts for about 80% of our energy use, mostly from natural gas. We already use biomass and solar for steam and electricity, but replacing gas entirely isn't easy. The most promising options are better heat recovery and, eventually, switching to renewable fuels like biomethane.

Are batteries part of the equation?

Definitely. The Utrillas plant has a 400 kW solar system, but since we can't feed excess power into the grid, we have to use everything on site—which doesn't always match our production needs. The battery helps by storing surplus solar energy, so we can use it later during peak demand or when electricity prices are high. We're also exploring things like price arbitrage and, depending on regulations, even grid services. Success depends on how well we can forecast weather, prices, and our own energy use.

Is the project having an impact locally?

Absolutely. We're the second-largest employer in Utrillas, and our parent group is the biggest industrial player in the province. Beyond fertilisers, we're active in agri-food, energy, and real estate—and we've also supported things like organic truffle and lavender farming, or turning historic buildings into boutique hotels. Through the Térvalis Foundation, we also provide long-term jobs for people with disabilities. We're very rooted in the local community.

What lessons from Utrillas might apply elsewhere?

We still don't have much real-world experience with things like on-site batteries, so part of the value here is simply learning by doing. There are plenty of applications—like self-consumption, backup power, and demand response. But the industry still needs hands-on experience to make them work well at scale.

What could the plant look like by 2030?

Utrillas is already well on its way—it runs on renewable electricity, uses local biomass for steam, and is adopting smarter systems for energy management and storage. The next big leap will depend on how quickly new tech like green ammonia, renewable gases, and electric transport becomes affordable. But the direction is clear: more efficiency, more flexibility, and much less fossil fuel. In any case, the future outlook is exciting.

Contributors: Luis Carlos Correas Usón

Contacts:


Project coordinator:

Niccolò Santoni, Rina Consulting SPA—coordinator@flexindustries.eu

Communication Manager:

Leonardo Improta, ICONS—info@flexindustries.eu


Project website: Homepage—FLEXIndustries

LinkedIn: FLEXIndustries

Mastodon: @FLEXIndustries

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