Two Tata Steel subsidiaries were sued for $1.6 billion by an NGO in the Netherlands for alleged adverse health and environmental impacts from its steel plant in the Dutch village of Velsen-Noord.
In a regulatory filing, Tata Steel said that Stichting Frisse Wind.nu (SFW) filed a case before a court in North Holland against its subsidiaries Tata Steel Nederland and Tata Steel Ijmuiden (together called TSN), alleging that emissions from the plant led to health risks, reduced quality of life, and lower property values in nearby areas.
Tata Steel termed the allegations as “unsubstantiated and speculative,” and said no evidence was provided so far. The company said it has strong grounds to defend the case and will contest the claims. It added that it had invested in reducing emissions and was working with authorities under its Green Steel Plan. It launched a $7 billion decarbonisation and health project with Dutch govt support earlier this year.
“TSN is committed and will continue to focus on environmental preservation and addressing community concerns through collaboration with govt and other stakeholders towards a sustainable future for all stakeholders,” the exchange filing said.
The proceedings, to be conducted in two phases, are expected to take two-three years each to conclude. “TSN considers that it has strong arguments to defend against the claims and will vehemently defend itself against these claims,” it said.
“The proceedings initiated by SFW concern a collective action under the Dutch Act on Collective Settlement of Mass Claims (WAMCA). The proceedings pertain to allegations by SFW, holding TSN liable for alleged damages caused by TSN’s operations in Velsen-Noord,” the company said.
