Shell welcomes Dutch Court of Appeal ruling
Shell plc
Shell welcomes Dutch Court of Appeal ruling
November 12, 2024
Today, the Court of Appeal of The Hague overturned the District
Court of The Hague’s 2021 ruling in the case brought against Shell
plc by Milieudefensie, other NGOs and a group of private
individuals.
“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 plc Chief Executive Officer 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.”
The past few years have highlighted the critical
importance of secure and affordable energy for economies and
people’s lives. At the same time, the world must meet growing
demand for energy while tackling the urgent challenge of climate
change. There has been significant progress in the transition to
low-carbon energy where governments have introduced policies to
encourage investment and drive changes in demand.
As Shell has stated previously, 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 believe that smart policies from
governments, along with investment and action across all sectors,
will drive the progress towards net-zero emissions that we all want
to see.
Notes to Editors:
- In 2021, the District Court of The Hague ruled that Shell plc
must reduce the worldwide aggregate net carbon emissions it reports
across Scopes 1, 2 and 3 by net 45% 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.
Shell’s appeal did not have the effect of suspending the District
Court’s decision.
- Shell is investing $10-15 billion between 2023 and the end of
2025 in low-carbon energy solutions including charging for electric
vehicles, biofuels, renewable power, hydrogen, and carbon capture
and storage, making Shell a significant investor in the energy
transition.
- Shell invested $5.6 billion in low-carbon solutions in 2023,
which was 23% of our capital spending.
- By the end of 2023, Shell had achieved more than 60% of its
target to reduce Scope 1 and 2 emissions from its operations by 50%
by 2030, compared with 2016.
- By the end of 2023, Shell had also achieved its short-term
target to reduce the net carbon intensity of the energy products we
sell (6.3% reduction against our target of 6-8%) compared with
2016. Our analysis, using data from the International Energy
Agency, shows the net carbon intensity of the global energy system
fell by around 3% over the same period.
- Shell continues to be one of the industry leaders in reducing
emissions of methane. In 2023, we continued to keep our methane
emissions intensity well below 0.2% and, by the end of 2023, we had
reduced our methane emissions by 70% since 2016.
- To help drive the decarbonisation of transport, Shell set a new
ambition in 2024 to reduce customer emissions from the use of our
oil products (such as gasoline, diesel and kerosene) by 15-20% by
2030, compared with 2021 (Scope 3, Category 11)2.
1 On a net basis; baseline year 2016.
2 Customer emissions from the use of our oil products
(Scope 3, Category 11) were 517 million tonnes carbon dioxide
equivalent (CO2e) in 2023 and 569 million tonnes CO2e in 2021.
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see over the next ten years. Accordingly, they reflect our Scope 1,
Scope 2 and NCI targets over the next ten years. However, Shell’s
operating plans cannot reflect our 2050 net-zero emissions target,
as this target is currently outside our planning period. In the
future, as society moves towards net-zero emissions, we expect
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