Shell wins appeal against Dutch climate ruling to slash emissions

A Dutch court on Tuesday dismissed a landmark climate ruling against Shell, after the oil giant was ordered to drastically reduce its global carbon emissions back in 2021.

The outcome, which comes during the opening days of the COP29 climate summit in Azerbaijan, marks the latest twist in a precedent-setting case that could have far-reaching implications for the future of climate litigation.

The appeals court in The Hague said that while Shell is required to reduce its carbon emissions, it could not determine the extent of these cuts. The case against Shell, therefore, was dismissed entirely.

In May 2021, The Hague district court ruled that Shell must reduce its greenhouse gas emissions by 45% from 2019 levels by 2030.

The verdict, which came when Shell had its headquarters in The Hague, also said the company was responsible for all emissions across its value chain, including those from the products they sell — known as Scope 3 emissions.

It was the first time in history that a company was found to have been legally obliged to align its policies with the Paris Agreement, a framework which seeks to avoid the worst of what the climate crisis has in store by limiting the average global temperature increase to between 1.5 and 2 degrees Celsius.

The ruling was regarded as a watershed moment in the climate battle and sparked a wave of lawsuits against other fossil fuel companies.

The case was brought against Shell in 2019 by Milieudefensie, an environmental campaign group and the Dutch branch of Friends of the Earth, alongside six other bodies and more than 17,000 Dutch citizens.

An appeal against Tuesday’s outcome could still be brought before the Netherlands’ Supreme Court, although Milieudefensie has not said whether it plans to launch an appeal.

“The court of appeal denied the claims of Milieudefensie because the court was unable to establish that the social standard of care entails an obligation for Shell to reduce its CO2…