Australia's competition regulator launched its largest greenwashing lawsuit today, taking gas distributor Australian Gas Networks to Federal Court over advertisements that allegedly misled millions of consumers about the future of renewable gas.
The Australian Competition and Consumer Commission alleges the company made false claims in its "Love Gas" campaign that ran during 2022 and 2023, promising households they would receive renewable gas "within a generation" without reasonable grounds for such statements.
The advertisements featured a young girl and her father using gas appliances for cooking and heating, then fast-forwarded to show her as an adult doing the same activities1. The campaign included phrases like "it's becoming renewable" and concluded with "love a renewable gas future"2.
ACCC Chair Gina Cass-Gottlieb said the company "overstated the likelihood of Australian Gas Networks overcoming technical and economic barriers to distribute renewable gas to households within a generation"3.
"It is not currently possible to distribute renewable gas at scale and at an economically viable price, and throughout 2022 and 2023 it was highly uncertain whether, and if so when, this would be possible," Cass-Gottlieb said3.
The case represents the ACCC's most ambitious greenwashing enforcement action as regulators across Australia tighten oversight of environmental claims1. The legal action follows complaints from consumers and the Australian Conservation Foundation2.
The timing coincides with gas phase-out plans by Sydney and Victoria governments, highlighting tensions over the fuel's future role1. Renewable gases like hydrogen and biomethane remain unavailable to Australian consumers at scale1.
Corporate penalties for breaching Australian Consumer Law can reach $50 million1. The ACCC seeks declarations, penalties and costs, with Cass-Gottlieb emphasizing the focus on "in-principle penalties" to deter similar conduct1.
Australian Gas Networks, which serves over 1.3 million customers across five states through 27,000 kilometers of distribution networks, said it would defend against the allegations12. The company is owned by Hong Kong-based conglomerate CK Group and operates small-scale hydrogen blending projects2.
"The firm strives to provide clear and accurate communications about the role and benefits of natural gas today and renewable gas into the future," a company spokesman said2.
