A Dutch court will hear Shell plc’s SHEL appeal against a landmark climate ruling that drastically deepened the oil giant’s planned greenhouse gas emission cuts.
In 2021, the district court in The Hague ordered the oil and gas giant to lower its carbon emissions by 45% by 2030 vs. 2019 levels.
The order came amid rising pressure on energy companies from investors, activists, and governments to boost investment in renewables and move away from fossil fuels, said Reuters.
Related: Shell Streamlines Renewables Portfolio with SouthCoast Wind Sale
The company had said in a statement, “We agree that the world needs urgent climate action, but we have a different view in how that goal should be achieved”.
“By focusing on one company, and only on the supply of energy rather than the demand for it, we believe the ruling is ineffective and even counterproductive in addressing climate change.”
Last month, Shell stated that they have achieved more than 60% of the target to halve emissions from its operations (Scope 1 and 2) by 2030 vs. 2016 on a net basis.
The company also set a new ambition to reduce customer emissions from the use of its oil products by 15%-20% by 2030 compared with 2021 and against its previous target of 20%.
Acknowledging uncertainty in the pace of change in the energy transition, the company has also chosen to retire its 2035 target of a 45% reduction in net carbon intensity.
The company reiterated the investment of $10 billion-$15 billion between 2023-2025 in low-carbon energy solutions.
Price Action: SHEL shares are up 1.19% at $68.74 premarket on the last check Tuesday.
Photo via Wikimedia Commons
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