Z Energy greenwashing

ELI has partnered with Consumer NZ and Lawyers for Climate Action New Zealand Inc (LCANZI) to seek declarations from the High Court that Z Energy has breached the Fair Trading Act by misleading New Zealanders with its public messaging.

Z Energy is the second largest greenhouse gas emitter in New Zealand and is accountable for more than 10% of the country’s emissions.

Last year, Z Energy’s advertising featured slogans including, “we’re in the business of getting out of the petrol business”, and Z is “well on track to achieving [its] carbon reduction targets”.

In reality, Z Energy’s fossil-fuel sales and carbon emissions are increasing.

ELI, Consumer NZ and LCANZI allege that through various advertising campaigns and public statements Z Energy has created the impression it is taking urgent action to counter the climate crisis. Claims have included that Z Energy:

• is reducing its carbon emissions

• is getting out of the petrol business

• has built a biofuel plant

• is rapidly expanding its electric vehicle (EV) charging network

ELI, Consumer NZ and LCANZI believe Z Energy is capitalising on New Zealanders’ concerns about the climate crisis for commercial gain.

Following its “moving with the times” advertising campaign, Z Energy was rated New Zealand’s most preferred fuel brand, and subsequently increased its sale of fossil fuels.

An international consumer survey published this week looked at consumer perceptions on green claims. That survey found three out of four European respondents think very polluting companies should not be allowed to use any green claims at all. Close to 40% of European respondents think fossil fuel companies should not be allowed to do any advertising. Results were broadly similar for New Zealand respondents to the survey.

According to Consumer’s own research, nine in ten New Zealanders place some importance on a product’s green claims being verified before it is sold.

Consumer’s research also shows nearly half of New Zealanders (47%) find it difficult to tell the truthfulness of a product’s environmental or “green” claims, and around three-quarters (73%) have never checked “green” claims to see if they are accurate.

"Z Energy has made some bold claims, but we can see no current and credible plan for exiting the petrol business or for Z reducing its total emissions." said Matthew Hall, Director, Research and Legal at the Environmental Law Initiative.

"Z Energy's emissions are increasing and are not in line with the reductions we need by 2030 to stay aligned with 1.5 degrees of warming.

We’re taking this case so that when businesses say they’re helping the environment, the public knows that they actually are.”