Key Points:
- Flight Free Australia has lodged a greenwashing complaint against Etihad Airways.
- FFA says Etihad may have misled consumers by positioning itself as a leader in sustainability.
- The ACCC says it is investigating greenwashing concerns across a range of industries.
Etihad Airways is being accused of greenwashing, with an environmental group claiming the airline has "no credible path to net zero", and could be misleading customers about its sustainability efforts.
The not-for-profit group Flight Free Australia (FFA) has asked the Australian Competition and Consumer Commission (ACCC) to investigate Etihad's advertising and emissions reductions plans.
It comes after the ACCC released a report earlier this month investigating greenwashing across businesses in Australia, with 57 per cent of the companies investigated found to have made "concerning claims".
Here's what we know.
What are the accusations?
On Wednesday, FFA lodged a complaint to the ACCC against the United Arab Emirates' national carrier over an advertisement campaign.
FFA alleged Etihad may have breached the Competition and Consumer Act by positioning itself as a leader in sustainability and climate responsibility on a billboard displayed at Melbourne's AAMI Park on 15 February 2023.
The billboard contained statements saying "flying shouldn't cost the Earth" and "net zero emissions by 2050" alongside the company logo.
An Etihad advertisement stating 'Net zero emissions by 2050' during an A-League match at AAMI Park has been described as 'greenwashing' by an environmental group. Credit: ENVIRONMENTAL DEFENDERS OFFICE/PR IMAGE
Flight Free pledger Alex Mungall called on Etihad to withdraw its sustainability claims.
"When we see Etihad sponsoring sports, and advertising their so-called sustainability, that flying 'need not cost the earth' or that they will achieve 'net zero by 2050', we see potential greenwashing," Mr Mungall said.
"Our complaint alleges Etihad has no credible path to net zero in place and is instead talking up emissions reduction initiatives that are not technologically, practically or economically feasible."
What is greenwashing?
Greenwashing refers to making false or misleading claims about sustainability and environmental impacts.
According to the ACCC's report on greenwashing by businesses in Australia, greenwashing can often be found on product packaging, websites, advertisements or social media posts by influencers.
This often comes in the form of "green" product ranges, social responsibility statements, or making vague claims about being environmentally friendly.
In its sweep of businesses in Australia, the ACCC examined concerns such as companies making unqualified claims, providing a lack of evidence, exaggerating benefits or omitting relevant information, and using images that appear to be trust marks such as icons of leaves and the planet.
Greenwashing a 'priority', ACCC says
An ACCC spokesperson confirmed a complaint had been received on Wednesday.
"We will consider the complaint from the Environmental Defenders office which was received yesterday morning," the spokesperson said.
"Greenwashing is a priority for the ACCC and we are currently examining a number of concerns about greenwashing involving a range of industries.
According to the ACCC's greenwashing report, more consumers are now using sustainability claims to make purchasing decisions, but are not able to analyse or verify the accuracy of a business’s environmental credentials.
"Environmental or sustainability claims will only help consumers make informed purchasing decisions if the claims are clear, are not misleading and do not omit relevant information," the report said.
"A misleading, meaningless, or unclear claim breaches consumer trust and hurts confidence in both the claim itself and sustainability claims in general."
Last year, the Albanese government announced big businesses would be forced to divulge their efforts to cut greenhouse gas emissions and manage climate risk under green investment rules.
Treasurer Jim Chalmers said an Australian climate risk disclosure framework would help boost investment in clean energy and other infrastructure needed to transition to a sustainable, low-carbon economy.
What has Etihad said?
Etihad said it runs a comprehensive research and development program to address aviation decarbonisation, and is committed to achieving net zero emissions by 2050.
The airline has also committed to a 20 per cent reduction in emissions intensity by 2025.
"Our ambition is to reduce the impact of aviation on the environment, and we continue to explore and test all possible ways to decarbonise – from research into sustainable aviation fuels and contrail avoidance to offsets and reforestation through the Etihad Mangroves," a statement from the airline said.
The Environmental Defenders Office, which is representing FFA, said there was no evidence to support Etihad's environmental claims.
"We've pored over Etihad's public documents and found insufficient evidence that it intends, or reasonably expects, to reach net zero by 2050," EDO Senior Solicitor Zoe Bush said.
She also accused the airline of deceiving and exploiting consumers who wanted to make sustainable choices.
SBS News has contacted Etihad Airways for comment.
