The Court of Appeal of The Hague has overturned the landmark decision by the District Court of The Hague’s in the case brought against Shell by Milieudefensie, other NGOs and a group of private individuals.

In 2021, the court ruled that Shell must reduce the worldwide aggregate net carbon emissions it reports across Scopes 1, 2 and 3 by net 45 per cent by the end of 2030, compared with 2019 levels, with a “significant best efforts” obligation for Scopes 2 and 3, and a “results-based” obligation for Scope 1.

The appeals court dismissed the entire 2021 ruling agreeing that Shell was on target to meet emissions goals and that stronger cuts would make no difference in the fight against climate change.

Shell had previously stated that a court ruling would not reduce overall customer demand for products such as petrol and diesel for cars, or for gas to heat and power homes and businesses. It would do little to reduce emissions, as customers would take their business elsewhere.

“We are pleased with the court’s decision, which we believe is the right one for the global energy transition, the Netherlands and our company,” said Shell CEO Wael Sawan.

“Our target to become a net-zero emissions energy business by 2050 remains at the heart of Shell’s strategy and is transforming our business. This includes continuing our work to halve emissions from our operations by 20301. We are making good progress in our strategy to deliver more value with less emissions,” he added.

Whilst Shell had won this round, the battle many yet continue up to the Dutch Supreme Court.

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