Climate Active certification: Companies at risk of ‘state-sponsored greenwashing’, Senate told

heard on Monday that the consumer watchdog had not yet signed off on the federal government’s Climate Active carbon neutrality certification even though more than 500 companies already used it because of confusion around its rules.

Under the scheme, they can label their products as “Climate Active certified” if they measure, reduce and report on their emissions in exchange for a licence fee, though they verify and self-report these metrics themselves. She said that under the current rules, companies could claim a Climate Action certification even if they only had one carbon-neutral product. Ampol used the label because it had a single carbon-neutral petrol, for example. Coles was also previously“You can’t address greenwashing by the private sector when the government’s own climate policies are facilitating some of that behaviour,” she told the Senate committee.

She said the fact companies were allowed to use offsets to reduce their emissions regardless of whether they were taking genuine steps to reduce their actual carbon output also added to the greenwashing risk.

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