Home Money & Business Business Dutch appellate court reverses significant climate decision targeting Shell

Dutch appellate court reverses significant climate decision targeting Shell

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THE HAGUE, Netherlands — On Tuesday, a Dutch appeals court reversed a pivotal decision that mandated energy giant Shell to reduce its carbon emissions by a net 45% by the year 2030, based on figures from 2019.
This ruling represents a setback for the Dutch division of the environmental organization Friends of the Earth, which celebrated the initial 2021 verdict as a significant triumph for the climate. Interestingly, this recent ruling, issued in the civil court, may still be challenged in the Dutch Supreme Court.

The decision to uphold Shell’s appeal was announced as a 12-day U.N. climate conference was underway in Azerbaijan, marking its second day.
Judge Carla Joustra, who presided over the case, noted that Shell has already set its own emission reduction targets that align with the requests from Friends of the Earth. These targets encompass emissions generated both directly by the company and those associated with energy that Shell acquires from external suppliers. Furthermore, Joustra indicated that mandating Shell to reduce emissions tied to consumers and businesses utilizing its products would likely prove ineffective, as these products could be sourced from alternative companies.

“The court’s ultimate ruling is that the claims made by Friends of the Earth are not substantiated. Consequently, the previous district court’s decision is nullified,” explained Joustra.

Donald Pols, the director of Friends of the Earth in the Netherlands, expressed disappointment, stating, “This is a painful outcome. Nevertheless, we recognize that this case has highlighted that major polluters are not beyond accountability, and it has further ignited discussions regarding their role in addressing the pressing issue of climate change. That’s why we will persist in holding big polluters, including Shell, accountable.”