Tata Steel faces €1.4 bn environmental damage claim in Netherlands

Tata Steel Limited announced that its subsidiaries, Tata Steel Nederland B.V. and Tata Steel IJmuiden B.V. (collectively TSN), have been served with a writ of summons by Stichting Frisse Wind.nu (SFW). The collective action, filed in the District Court North Holland, seeks approximately €1.4 billion in compensation. SFW alleges that TSN's operations in Velsen-Noord have caused damages, including increased susceptibility to health issues and loss of enjoyment of homes for residents in the vicinity.

TSN stated that SFW has provided no supporting evidence for its claim, deeming it unsubstantiated and speculative. The company is prepared to defend against the claim, asserting that SFW faces considerable challenges regarding both admissibility and the merits of its case. The proceedings, initiated under the Dutch Act on Collective Settlement of Mass Claims (WAMCA), are expected to involve two phases—admissibility and merits—each taking approximately 2 to 3 years.

SFW's class action is financed by third-party funders Redbreast Associates N.V. and Omni Bridgeway S.A. Tata Steel highlighted its ongoing investments and initiatives to enhance the healthy living environment in IJmuiden, including efforts to reduce PM10 emissions, NOx, SO2, odours, and noise. Given these efforts, TSN believes that SFW's claim lacks merit and intends to vehemently defend itself.