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Environmental lawyers lodge greenwashing complaint against Qantas
The Environmental Defenders Office has asked the ACCC to investigate the national carrier for alleged greenwashing over its “carbon-neutral” and net zero assertions.
Jerome Doraisamy
Yesterday (Wednesday, 16 October), a complaint – prepared by research and advocacy organisation Climate Integrity and filed by the Environmental Defenders Office – was filed against Qantas, requesting an investigation into the national carrier’s marketing materials.
The complaint centres on Qantas’ “fly carbon-neutral” product, promotion of “sustainable aviation fuels” (SAF), and the credibility of the company’s net zero transition, and suggests a lack of clear targets and credible transition strategies.
Qantas’ 2024 report notes that it emitted over 16.7 million tonnes of CO2 globally, which is equivalent to 4 per cent of Australia’s total annual CO2 emissions.
In a statement, Climate Integrity director Claire Snyder said: “Consumers and shareholders are increasingly conscious of their climate impact and deserve the right to make informed decisions.”
“Qantas is a trusted household name in Australia, and it should not mislead customers and shareholders into thinking Qantas products and services are more sustainable than they really are.”
“The ACCC needs to step in to protect consumers and investors as regulators have done in Europe.”
Qantas customers choosing the “fly carbon-neutral” option for their flight might think that the climate impacts of their trip have been compensated for or significantly reduced, Snyder argued, “but this is not supported by science, and therefore distorts customers’ perception of the sustainability of flying”.
The complaint follows recent regulatory action taken by the European Commission and EU national consumer protection authorities against continental airlines for misleading greenwashing practices, which was preceded by a landmark greenwashing decision against KLM Royal Dutch Airlines in March that found common aviation industry claims relating to “sustainable aviation fuels”, “offsetting”, and “net zero by 2050” to be misleading.
Climate Integrity and EDO are arguing that Qantas and the aviation sector more broadly are “intentionally using misleading sustainability language and imagery” to protect the social licence of aviation to grow.
Snyder said: “The science is irrefutable: the burning of fossil fuels is the single largest driver of climate change, and Qantas has a long-term reliance on fossil fuels. Greenwashing at this scale creates a false sense of progress and undermines the urgent action necessary to reach zero emissions by 2050.
“Australia’s national carrier must stop greenwashing, commit to a science-aligned transition, and be transparent with its customers and investors about the challenges it faces in reaching net zero.
“Qantas has made a commitment to do its fair share to meet the goals of the Paris Climate Agreement, and it needs to follow through.”
Greenwashing has increasingly come under the microscope for regulatory scrutiny Down Under in recent years.
In August, the first greenwashing case brought by the Australian Securities and Investments Commission (ASIC) ended with the Federal Court ordering Mercer Superannuation to pay a $11.3 million penalty following admission of false and misleading statements about certain superannuation investment options. In June, Active Super was found to have made misleading ESG claims and engaged in greenwashing, following an action brought by ASIC in August 2023. The corporate regulator also brought proceedings against Vanguard in July 2023, for which it secured a partial win in the Federal Court in March this year.
In October of last year, Lawyers Weekly explored the legal implications of greenwashing and the rise of sustainability.
Speaking in response to the lodging of the complaint, a Qantas spokesperson said: “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.”
“High integrity carbon offsets are key to us meeting net emissions reduction targets until sustainable aviation fuel and low- and zero-emissions technologies are more readily available. That’s why we launched a $400 million 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. Our targets are underpinned by a robust carbon offset and SAF procurement plan and having the right partners in place to help deliver.”
“We understand that the regulation and science behind carbon offsets and SAF is developing, like all aspects of decarbonisation, and that targets, availability and effectiveness may change. We have offered to work closely with Climate Integrity on this journey and have also reached out to the ACCC.”
Jerome Doraisamy
Jerome Doraisamy is the editor of Lawyers Weekly. A former lawyer, he has worked at Momentum Media as a journalist on Lawyers Weekly since February 2018, and has served as editor since March 2022. He is also the host of all five shows under The Lawyers Weekly Podcast Network, and has overseen the brand's audio medium growth from 4,000 downloads per month to over 60,000 downloads per month, making The Lawyers Weekly Show the most popular industry-specific podcast in Australia. Jerome is also the author of The Wellness Doctrines book series, an admitted solicitor in NSW, and a board director of Minds Count.
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