CO2 reduction talks stopped with several oil and chemical firms

The government has halted talks with a number of the Netherlands’ biggest industrial companies about reducing their carbon dioxide emissions, climate minister Sophie Hermans has told MPs.
The companies had pledged to cut their emissions beyond legal requirements in exchange for government subsidies. However, in some cases, the talks have failed to produce tangible plans, and there is a “lack of perspective” that this will happen, climate ministry documents state.
Shell, BP, Air Liquide, Air Products, ExxonMobil and LyondellBasell, all based in Rotterdam, are among the companies with which talks have now ended. Dow Chemical in Terneuzen is also out of the picture.
Hermans said the decision to end the talks did not mean the companies were not taking action, pointing to the way Shell, ExxonMobil, Air Products and Air Liquide are working together on the Porthos carbon capture project.
“This tailor-made approach has delivered a lot but can be complex and time-consuming to put into practice,” the ministry statement said. “The cabinet is opting for a realistic approach – to concentrate on companies with ambitious, concrete and achievable plans which will reduce CO2 emissions as we head to 2030.”
Salt company Nobian is the only one of 30 major industrial firms to have reached a firm deal with the government, while 13 companies have signed a statement of intent.
The government is still in talks with Tata Steel in IJmuiden and the European Commission is currently involved in the subsidy discussions, the minister told parliament in her briefing. Tata aims to shift half its steel production from coal to gas and hydrogen-based power.
The Netherlands aims to cut carbon dioxide emissions by 55% by 2030 compared with 1990, but the current plans would achieve a maximum reduction of between 44% and 52%, according to the PBL. No sectors are currently on target.
In total, 356 companies are classed as major polluters under the European emissions trading system (ETS). Together, they are responsible for around half of the Netherlands’ carbon dioxide emissions.
Last month it emerged that MPs are set to vote to abolish a tax on CO2 emissions after intense lobbying from companies who warned it would drive jobs out of the Netherlands.
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