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Explainer: What the Dutch Court Carbon Emissions Ruling Means for Shell

REUTERS: May 26, 2021, at 2:06 p.m.

Explainer: What the Dutch Court Carbon Emissions Ruling Means for Shell

(Reuters) – A Dutch court on Wednesday ordered Royal Dutch Shell to significantly deepen planned greenhouse gas emission cuts, in a landmark ruling that could pave the way for legal action against energy companies around the world.

Shell said it was “disappointed” by the ruling which it plans to appeal.

Here are some key points about the ruling:

– WHAT WAS THE RULING?

The district court ordered Shell to cut its absolute carbon emissions by 45% by 2030 compared to 2019 levels. Shell currently aims to reduce the carbon intensity of products it sells by 20% over the same period from a 2016 baseline.

– DOES THE RULING AFFECT SHELL’S GLOBAL OPERATIONS?

Yes. The reduction relates to Shell’s global operations and is not limited to the Netherlands, the court ruling said.

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