Court Rules Shell Must Abide by Paris Agreement and Cut Greenhouse Emissions by 45%.
In a first-of-its-kind ruling, a court has held a private company is responsible for its contributions to the climate crisis. The court at The Hague in the Netherlands ruled yesterday that Shell must reduce its emissions by 45% by 2030.
This is a turning point in history and is the first time a Judge has ordered a large company to comply with the Paris Climate Agreement, an international accord with a goal of limiting emissions to “well below” two degrees Celsius above pre-industrial levels.
The ruling sends a message to companies that they may not only have to abide by national laws, but international policy as well. While the court did acknowledge Shell’s climate commitments, it argued that they were not “concrete” and therefore ordered the company to reduce its emissions to 45% of 2019 levels by 2030. It also said the company must move to do so immediately, and that it was responsible for the emissions of both its customers and suppliers!
The Shell verdict is a massive win for environmental campaigners with the Court saying it’s not good enough for businesses to comply with the law on their emissions – they have to comply with global climate policy too. This verdict will be a warning to companies around the world that the battle against climate change may be spelling the end of anything resembling “business as usual” and it will trigger a wave of climate litigation.
Epar’s Climate Change Mitigation and Adaptation Strategy – REGENERATIVE THRIVABILITY.
We see climate change as a significant opportunity for every one of our valued customers. While it is often discussed as a major risk, we view climate change as an opportunity for your business to thrive. We are looking forward to assisting our customers with the efficiency, innovation, and growth opportunities we have identified that a low-carbon transition will create. After all, 225 of the world’s largest companies reported over $2 trillion of climate-related opportunities from low-carbon goods and services, displaying the potential to gain new forms of competitive advantage from shifting consumer preferences. And, last year, European companies alone identified $1.4 trillion of opportunities — more than six times the cost to realise them.
The low-carbon transition is creating demand for new sustainable goods and services and keep an eye out for our decarbonising strategies already underway along with our low carbon transition plans.
If you would like to discuss any low carbon planning and climate change risk mitigation and adaptation strategies, call Terry on 0412 294 514. He first studied climate change in 2003 and recently completed The University of Cambridge, Business and Climate Change – Towards Net Zero Emissions training program. He is a firm believer in the value of low-carbon opportunities and that the prize is only going to get bigger for those businesses that don’t sit on the sidelines.