Oil firm, which paused project in 2024, will not restart work because facility deemed ‘insufficiently competitive’

Shell has axed the construction of its biofuels plant in the Netherlands, ending what would have been one of the biggest converters of waste into green jet fuel in Europe.

The oil company, which paused construction at the site in July last year to tackle technical problems, said it had decided not to restart building after it found the plant would be “insufficiently competitive” to meet demand for “affordable, low-carbon products”.

The move to scrap the project in Rotterdam marks another setback for its biofuel designs, after the company cancelled a sustainable aviation fuel (SAF) project on Singapore’s Bukom Island in March 2023.

It comes amid a wider shift away from renewable energy projects in the oil and gas sector as fossil fuel companies pursue higher profits.