Shell Wins Landmark Climate Case

Oil giant Shell has won a landmark case in the Dutch courts, overturning an earlier ruling requiring it to cut its carbon emissions by 45%.

The Hague court of appeal said it could not establish that Shell had a “social standard of care” to reduce its emissions by 45% or any other amount, even though it agreed the company had an obligation to citizens to limit emissions.

Three years ago, a court in The Hague backed a case by Friends of the Earth and 17,000 Dutch citizens requiring Shell to reduce its CO2 emissions significantly, in line with the Paris climate accords.

The ruling came as climate talks involving some 200 countries got under way in Azerbaijan.

Shell said it was pleased with the court’s decision, but Friends of the Earth Netherlands said the ruling was a setback that affected them deeply.

The environmental group can now take its case against Shell to the Supreme Court – but a final verdict could be years away.

The appeals court judge said that companies such as Shell were obliged to contribute to combating climate change based on the human right to protection against dangerous climate change.

Shell has argued that it is already taking “serious steps to reduce emissions”. It complained the original ruling was unfair as it singled out one company for a global issue, and said it was unrealistic to try to hold Shell accountable for its customers’ choices.

The oil firm says its aim is to reduce the carbon intensity of products it sells by 15-20% by 2030 from a 2016 baseline. Shell also aims to become a “net zero” emissions company by 2050.

A number of environmental groups around the world are now trying to force companies and governments to comply with the accords through the courts

Shell’s successful appeal could have far-reaching implications for corporate climate responsibility.

BBC/Ejiofor Ezeifeoma