Parent group challenges energy giant over carbon claims
A parent group with more than 20,000 members will challenge one of Australia's largest energy companies in court over claims it misled customers about emissions from its products.
Representatives from EnergyAustralia will appear in the NSW Federal Court on Wednesday to defend the lawsuit filed by Parents for Climate in August 2023.
The group claims the company misled more than 400,000 customers using its Go Neutral products, which EnergyAustralia allegedly marketed as "carbon neutral" due to the purchase of offsets, and claimed consumers would have a "positive impact on the environment" by purchasing them.
But Parents for Climate will argue EnergyAustralia's claims were misleading and deceptive, chief executive Nic Seton said, in a lawsuit that will become the first greenwashing case launched against an energy firm in Australia.
"It's one of the most ambitious things that our organisation has ever done," he told AAP.
"It's an Australian first in that no other product has been tested on these grounds of making carbon-neutral claims based on offsets."
The charity, represented by Equity Generation Lawyers, will seek a declaration that EnergyAustralia misled customers about greenhouse gas emissions, a corrective statement to customers, and restrictions on its future marketing.
Australia's rules about environmental claims, including guidance issued by the Australian Competition and Consumer Commission, were not strong enough to prevent greenwashing, Mr Seton said, and the group hoped the lawsuit would encourage reforms.
"If we're successful, this could not just change the behaviour of this particular company but send a really clear signal to all companies in Australia who market their products with these sorts of climate claims," he said.
"Our own analysis of energy companies here in Australia is that this practice is quite common and does need to change."
EnergyAustralia withdrew its Go Neutral products for new customers in November but a spokesperson for the company said it was committed to offering customers clean energy solutions.
"We have been working closely with Parents for Climate over the last number of months," the spokesperson said.
"We remain optimistic we can resolve this issue together."
EnergyAustralia ranked as Australia's third-highest emitter in 2023-2024, according to statistics from the Clean Energy Regulator, and produced 16.5 million tonnes of carbon emissions.
The company is one of Australia's largest energy retailers, with 1.6 million customers, and operates two coal-fired and four gas-fired power plants across NSW, Victoria and South Australia.
Earlier this year, EnergyAustralia recommitted to closing its Yallourn coal-fired power station in Victoria by 2028 as part of its 2050 net-zero target.
A parent group with more than 20,000 members will challenge one of Australia's largest energy companies in court over claims it misled customers about emissions from its products.
Representatives from EnergyAustralia will appear in the NSW Federal Court on Wednesday to defend the lawsuit filed by Parents for Climate in August 2023.
The group claims the company misled more than 400,000 customers using its Go Neutral products, which EnergyAustralia allegedly marketed as "carbon neutral" due to the purchase of offsets, and claimed consumers would have a "positive impact on the environment" by purchasing them.
But Parents for Climate will argue EnergyAustralia's claims were misleading and deceptive, chief executive Nic Seton said, in a lawsuit that will become the first greenwashing case launched against an energy firm in Australia.
"It's one of the most ambitious things that our organisation has ever done," he told AAP.
"It's an Australian first in that no other product has been tested on these grounds of making carbon-neutral claims based on offsets."
The charity, represented by Equity Generation Lawyers, will seek a declaration that EnergyAustralia misled customers about greenhouse gas emissions, a corrective statement to customers, and restrictions on its future marketing.
Australia's rules about environmental claims, including guidance issued by the Australian Competition and Consumer Commission, were not strong enough to prevent greenwashing, Mr Seton said, and the group hoped the lawsuit would encourage reforms.
"If we're successful, this could not just change the behaviour of this particular company but send a really clear signal to all companies in Australia who market their products with these sorts of climate claims," he said.
"Our own analysis of energy companies here in Australia is that this practice is quite common and does need to change."
EnergyAustralia withdrew its Go Neutral products for new customers in November but a spokesperson for the company said it was committed to offering customers clean energy solutions.
"We have been working closely with Parents for Climate over the last number of months," the spokesperson said.
"We remain optimistic we can resolve this issue together."
EnergyAustralia ranked as Australia's third-highest emitter in 2023-2024, according to statistics from the Clean Energy Regulator, and produced 16.5 million tonnes of carbon emissions.
The company is one of Australia's largest energy retailers, with 1.6 million customers, and operates two coal-fired and four gas-fired power plants across NSW, Victoria and South Australia.
Earlier this year, EnergyAustralia recommitted to closing its Yallourn coal-fired power station in Victoria by 2028 as part of its 2050 net-zero target.
A parent group with more than 20,000 members will challenge one of Australia's largest energy companies in court over claims it misled customers about emissions from its products.
Representatives from EnergyAustralia will appear in the NSW Federal Court on Wednesday to defend the lawsuit filed by Parents for Climate in August 2023.
The group claims the company misled more than 400,000 customers using its Go Neutral products, which EnergyAustralia allegedly marketed as "carbon neutral" due to the purchase of offsets, and claimed consumers would have a "positive impact on the environment" by purchasing them.
But Parents for Climate will argue EnergyAustralia's claims were misleading and deceptive, chief executive Nic Seton said, in a lawsuit that will become the first greenwashing case launched against an energy firm in Australia.
"It's one of the most ambitious things that our organisation has ever done," he told AAP.
"It's an Australian first in that no other product has been tested on these grounds of making carbon-neutral claims based on offsets."
The charity, represented by Equity Generation Lawyers, will seek a declaration that EnergyAustralia misled customers about greenhouse gas emissions, a corrective statement to customers, and restrictions on its future marketing.
Australia's rules about environmental claims, including guidance issued by the Australian Competition and Consumer Commission, were not strong enough to prevent greenwashing, Mr Seton said, and the group hoped the lawsuit would encourage reforms.
"If we're successful, this could not just change the behaviour of this particular company but send a really clear signal to all companies in Australia who market their products with these sorts of climate claims," he said.
"Our own analysis of energy companies here in Australia is that this practice is quite common and does need to change."
EnergyAustralia withdrew its Go Neutral products for new customers in November but a spokesperson for the company said it was committed to offering customers clean energy solutions.
"We have been working closely with Parents for Climate over the last number of months," the spokesperson said.
"We remain optimistic we can resolve this issue together."
EnergyAustralia ranked as Australia's third-highest emitter in 2023-2024, according to statistics from the Clean Energy Regulator, and produced 16.5 million tonnes of carbon emissions.
The company is one of Australia's largest energy retailers, with 1.6 million customers, and operates two coal-fired and four gas-fired power plants across NSW, Victoria and South Australia.
Earlier this year, EnergyAustralia recommitted to closing its Yallourn coal-fired power station in Victoria by 2028 as part of its 2050 net-zero target.
A parent group with more than 20,000 members will challenge one of Australia's largest energy companies in court over claims it misled customers about emissions from its products.
Representatives from EnergyAustralia will appear in the NSW Federal Court on Wednesday to defend the lawsuit filed by Parents for Climate in August 2023.
The group claims the company misled more than 400,000 customers using its Go Neutral products, which EnergyAustralia allegedly marketed as "carbon neutral" due to the purchase of offsets, and claimed consumers would have a "positive impact on the environment" by purchasing them.
But Parents for Climate will argue EnergyAustralia's claims were misleading and deceptive, chief executive Nic Seton said, in a lawsuit that will become the first greenwashing case launched against an energy firm in Australia.
"It's one of the most ambitious things that our organisation has ever done," he told AAP.
"It's an Australian first in that no other product has been tested on these grounds of making carbon-neutral claims based on offsets."
The charity, represented by Equity Generation Lawyers, will seek a declaration that EnergyAustralia misled customers about greenhouse gas emissions, a corrective statement to customers, and restrictions on its future marketing.
Australia's rules about environmental claims, including guidance issued by the Australian Competition and Consumer Commission, were not strong enough to prevent greenwashing, Mr Seton said, and the group hoped the lawsuit would encourage reforms.
"If we're successful, this could not just change the behaviour of this particular company but send a really clear signal to all companies in Australia who market their products with these sorts of climate claims," he said.
"Our own analysis of energy companies here in Australia is that this practice is quite common and does need to change."
EnergyAustralia withdrew its Go Neutral products for new customers in November but a spokesperson for the company said it was committed to offering customers clean energy solutions.
"We have been working closely with Parents for Climate over the last number of months," the spokesperson said.
"We remain optimistic we can resolve this issue together."
EnergyAustralia ranked as Australia's third-highest emitter in 2023-2024, according to statistics from the Clean Energy Regulator, and produced 16.5 million tonnes of carbon emissions.
The company is one of Australia's largest energy retailers, with 1.6 million customers, and operates two coal-fired and four gas-fired power plants across NSW, Victoria and South Australia.
Earlier this year, EnergyAustralia recommitted to closing its Yallourn coal-fired power station in Victoria by 2028 as part of its 2050 net-zero target.
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"They're pushing us to move to BEVs, only us. What they're missing, not just in Australia but everywhere, is the fact that the gas [petroleum] companies aren't being pushed to put in the charging infrastructure. "If you were to do that, I think that resurgence would push even higher. Right now we're at 20 per cent BEVs in Europe, with a much more robust charging infrastructure. "Once you start doing that, then you start getting economies of scale, and then all the costs start to come down. At that point you're going to see all the advantages of BEVs, and they'll be less expensive ultimately than an ICE vehicle. "The only way to get there… is to have a more robust charging infrastructure that engenders a lot of confidence in buyers to buy." Less than one in 10 vehicles sold in Australia last year were EVs (91,292 of more than 1.22 million), although that number was up 4.7 per cent on the previous year. MORE: Everything Hyundai MORE: How Hyundai Australia's new boss plans to reverse Korean brand's sales slide Content originally sourced from: Australia's stringent new vehicle emissions regulations are set to send a host of auto brands running from these shores, according to local Hyundai chief Don Romano. The ink officially dried on the federal government's New Vehicle Efficiency Standard (NVES) at the start of this year, bringing with it legislation designed to reduce the carbon footprint of the Australian car market. While the NVES came into effect on January 1, 2025, penalties won't start being accrued until July 1. The recent federal election brought with it some uncertainty about the NVES, with former Liberal leader Peter Dutton promising to scrap the legislation. However, in the wake of Labor's win led by Anthony Albanese, there's no longer any doubt about whether it will be enforced. Speaking to CarExpert at the launch of the pint-size Hyundai Inster electric SUV, Mr Romano said that many automakers will be caught off guard by the punitive new regulations. Hundreds of new car deals are available through CarExpert right now. Get the experts on your side and score a great deal. Browse now. "When it comes down to NVES, there's going to be a lot of brands that are going to start falling apart because they're burying their heads in the sand," said Mr Romano. "They're not doing the math, they're not looking at just how much this is going to cost them to stay in business in Australia. "I think you're going to see an exodus. You're going to see a number of brands that finally say 'I can't do it', unless the government that we just re-elected makes the decision to go in a different direction, which I think is unlikely given the election results." 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"They're pushing us to move to BEVs, only us. What they're missing, not just in Australia but everywhere, is the fact that the gas [petroleum] companies aren't being pushed to put in the charging infrastructure. "If you were to do that, I think that resurgence would push even higher. Right now we're at 20 per cent BEVs in Europe, with a much more robust charging infrastructure. "Once you start doing that, then you start getting economies of scale, and then all the costs start to come down. At that point you're going to see all the advantages of BEVs, and they'll be less expensive ultimately than an ICE vehicle. "The only way to get there… is to have a more robust charging infrastructure that engenders a lot of confidence in buyers to buy." Less than one in 10 vehicles sold in Australia last year were EVs (91,292 of more than 1.22 million), although that number was up 4.7 per cent on the previous year. MORE: Everything Hyundai MORE: How Hyundai Australia's new boss plans to reverse Korean brand's sales slide Content originally sourced from: Australia's stringent new vehicle emissions regulations are set to send a host of auto brands running from these shores, according to local Hyundai chief Don Romano. The ink officially dried on the federal government's New Vehicle Efficiency Standard (NVES) at the start of this year, bringing with it legislation designed to reduce the carbon footprint of the Australian car market. While the NVES came into effect on January 1, 2025, penalties won't start being accrued until July 1. The recent federal election brought with it some uncertainty about the NVES, with former Liberal leader Peter Dutton promising to scrap the legislation. However, in the wake of Labor's win led by Anthony Albanese, there's no longer any doubt about whether it will be enforced. Speaking to CarExpert at the launch of the pint-size Hyundai Inster electric SUV, Mr Romano said that many automakers will be caught off guard by the punitive new regulations. Hundreds of new car deals are available through CarExpert right now. Get the experts on your side and score a great deal. Browse now. "When it comes down to NVES, there's going to be a lot of brands that are going to start falling apart because they're burying their heads in the sand," said Mr Romano. "They're not doing the math, they're not looking at just how much this is going to cost them to stay in business in Australia. "I think you're going to see an exodus. You're going to see a number of brands that finally say 'I can't do it', unless the government that we just re-elected makes the decision to go in a different direction, which I think is unlikely given the election results." Hyundai has backed the NVES from early in the piece, expressing confidence in meeting the Australian Government's tightening CO2 targets between 2025 and 2029. However, some of its rivals have been less supportive and others including Toyota have indicated that fines would ultimately be passed onto consumers in the form of price hikes. Having taken over as Hyundai Australia CEO just a few months ago, Mr Romano will lead the brand in its response to NVES with a focus on electric vehicles (EVs) and other 'future energy' initiatives. "Let's do it like Europe, [where] they're just going, 'okay, we've got to live with it, let's deal with it'. And guess what we're seeing right now in Europe? A resurgence in EVs," he said. While Hyundai is prepared to tackle tightening emissions regulations, Mr Romano still sees significant room for improvement in how policy is used to accelerate the transition towards greener forms of transport. "What the government is doing is half-baked," he concluded. "They're pushing us to move to BEVs, only us. What they're missing, not just in Australia but everywhere, is the fact that the gas [petroleum] companies aren't being pushed to put in the charging infrastructure. "If you were to do that, I think that resurgence would push even higher. Right now we're at 20 per cent BEVs in Europe, with a much more robust charging infrastructure. "Once you start doing that, then you start getting economies of scale, and then all the costs start to come down. At that point you're going to see all the advantages of BEVs, and they'll be less expensive ultimately than an ICE vehicle. "The only way to get there… is to have a more robust charging infrastructure that engenders a lot of confidence in buyers to buy." Less than one in 10 vehicles sold in Australia last year were EVs (91,292 of more than 1.22 million), although that number was up 4.7 per cent on the previous year. MORE: Everything Hyundai MORE: How Hyundai Australia's new boss plans to reverse Korean brand's sales slide Content originally sourced from:
