Qantas caught out greenwashing over net zero claims
It is clear that regulators are scrutinising claims that may be termed greenwashing "term used to describe false or misleading environmental claims" that "makes businesses appear more environmentally beneficial than they really are". Qantas is now having to respond to claims of greenwashing, as the Environmental Defenders Officer singles out Qantas’ claim of achieving net zero by 2050.
What does the Environmental Defenders Office allege?
The Environmental Defenders Office and Climate Integrity allege that the claim is “not backed up by credible targets or substantiating strategies”, making it possibly misleading and in contravention of Australian Consumer Law.
It is yet to be decided how the Australian Competition and Consumer Commission will investigate the allegations. This complaint is as a result of an earlier ruling where the determination was made that the airline KLM had engaged in misleading conduct by creating an impression that its sustainability claims were legitimate. This case led the European Commission to contact 20 airlines identifying their potentially misleading conduct and to change their practices.
The regulators are most concerned about the claims particularly, the claims which state that consumers can contribute to carbon offsets by paying a fee. These claims that carbon emissions, can be reduced in this way by sustainable fuels.
With precedent set by the decision of KLM, it was found that many industries claiming “sustainability” from aviation fuels, “offsetting” and “net zero by 2050” may also be misleading.
How is sustainability changing?
The court in Amsterdam has ruled that many consumers were misled, by vague environmental claims which painted “an overly rosy picture” of sustainability in aviation.
Climate Integrity was concerned that consumers needed to remain “cognisant of the true emissions impacts of flying”. The complaint against Qantas is particularly concerned with the bold headings on the Qantas website which considers the ways in which Qantas was “acting sustainably” or “driving sustainability to protect the future of travel”. Such statements were imposed over a a turtle swimming on the Great Barrier Reef.
The complaint highlights the need to authenticate the credibility of Qantas’ plans to reach net zero by 2050, which may emphasise the need for Qantas to engage in “science-aligned, credible methodology”, which aligns with the Paris climate Agreement, and as such currently Qantas’ emissions reduction was inadequate.
A spokesperson for Qantas Group spokesperson has stated:
“We have always acknowledged that aviation is a particularly hard-to-abate sector but we have a responsibility to do what we can with what’s available now.”
“That’s why we launched a $400m climate fund with Airbus to provide direct investments to help accelerate the establishment of a domestic SAF industry as well as high integrity nature-based solutions,”
“The journey to net zero emissions won’t be linear and one airline will not be able to solve this alone.”
What does this mean for Qantas?
These complaints are generally dealt with much more favourably when airlines (or other companies) submit to a process referred to as carbon assurance ahead of time. This is generally entered into voluntarily, and conducted by an independent assessor. This process follows international standards, and verifies the carbon emissions.
Europe and Australia are looking to make carbon assurance mandatory for large companies.
Greenwashing is a contravention of the law in Australia, as it harms consumers, and creates a misleading sense of development and growth. The goal of the ACCC is to investigate any greenwashing claims and to enforce the law. Regulators have become heavily involved in companies in Europe, however the question remains, how will the ACCC protect Australian consumers in this instance? Australians should be pride of of their national airline, if KLM can be held accountable, how should the ACCC impact on the current flight trajectory of Qantas’ flight path?
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