Qantas has been referred to the Australian Competition and Consumer Commission (ACCC) for potential greenwashing.
The complaint to the consumer watchdog was prepared by research and advocacy organisation Climate Integrity and filed by the Environmental Defenders Office.
It cites that greenwashing is illegal under Australian law and requests an investigation into Qantas’ marketing materials.
The complaint focuses on its ‘fly carbon neutral’ product, promotion of ‘sustainable aviation fuels’ and the credibility of the company’s net zero transition, highlighting its lack of clear targets and credible transition strategies.
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," she said.
“The ACCC needs to step in to protect consumers and investors as regulators have done in Europe."
The complaint follows a greenwashing decision in Europe 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. This decision sparked a regulatory response with the European Commission and EU national consumer protection authorities launching action against 20 airlines for misleading greenwashing practices.
The complaint outlines how Qantas’ marketing materials may breach consumer protection law by misrepresenting the environmental impact of the company, which in 2024 reported that it emitted 17.6 million tonnes of CO2 globally. The company's global carbon emissions are equivalent to 4% of Australia’s total annual emissions.
Climate Integrity also said that Qantas and others in the aviation industry are intentionally using misleading sustainability language and imagery to protect the social licence of aviation to grow. The group argues that alternative fuels or ‘sustainable aviation fuels’ are greenwashing by name and that relying on their potential future scale-up cannot come at the expense of solutions that are ready to go now - such as demand management.
Snyder said a Qantas customer 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.
“But this is not supported by science, and therefore distorts customers’ perception of the sustainability of flying," she said.
Derik Broekhoff, a senior scientist at the Stockholm Environment Institute and author of a report underpinning the KLM case, says that ‘carbon neutral’ is not the same as ‘zero emissions’.
“Using carbon credits cannot turn an unsustainable flight into a sustainable one, and consumers still need to be mindful of their travel choices,” said Broekhoff.
“It is not accurate for airlines to claim that purchasing carbon credits will compensate for fossil fuel emissions if those emissions are outside Paris-aligned decarbonisation trajectories.”
Snyder said 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," she said.
“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.”
Climate Integrity's recent study found that Qantas has no comprehensive, full-costed or independently verified plan for reducing their emissions in line with a scientific pathway. Another report found that a number of Australian companies, including Qantas, are obstructing and delaying Australia’s transition to net zero by directly and indirectly lobbying against climate action.
The Australian Association of National Advertisers (AANA) earlier this week launched a new Environmental Claims Code.
This initiative, effective from March, reinforces the advertising industry’s commitment to responsible advertising practices and its role in supporting government efforts to eradicate greenwashing.
Corporate regulator ASIC landed its first greenwashing case earlier in the year with Mercer Superannuation ordered by the Federal Court to pay a $11.3 million penalty.
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