A Dutch court on Wednesday ruled that Royal Dutch Shell PLC is partially responsible for climate change and ordered the company to reduce its carbon emissions, a first-of-its-kind ruling that adds fresh pressure on oil-and-gas companies already facing heightened scrutiny from governments and investors.
The ruling, issued by the district court in The Hague, ruled Shell must curb its carbon emissions by 45% by 2030, compared with 2019 levels. This is in line with United Nations guidance for member states aimed at preventing global temperatures rising more than 1.5 degrees Celsius above preindustrial levels.
Lawyers said the ruling, which Shell can appeal, could set a precedent in other Western jurisdictions, particularly in Europe, opening oil companies to a new legal jeopardy over their carbon emissions.
