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Greenwashing self-audit

Misleading environmental and sustainability claims are a joint ACCC and ASIC enforcement priority — and can breach the Australian Consumer Law (s18 / s29), the ASIC Act and the Corporations Act. This tool audits a claim or marketing program against the ACCC's eight principles for trustworthy environmental claims and bands your greenwashing risk.

Last verified: 1 July 2026
Context
Claim profile
ACCC's eight principles

Are the claims accurate and truthful?

Principle 1 — every environmental claim is factually correct and not capable of misleading a reasonable consumer.

Do you hold evidence to back up the claims?

Principle 2 — current, credible substantiation (lifecycle data, certification, testing) exists before the claim is made.

Have you avoided leaving out important information?

Principle 3 — nothing material is hidden or omitted that would change how the claim is understood.

Are conditions and qualifications explained?

Principle 4 — any limits or caveats on the claim are disclosed clearly and prominently.

Have you avoided broad, unqualified claims?

Principle 5 — terms like 'green', 'sustainable' or 'eco-friendly' are always qualified with specifics.

Is the language clear and easy to understand?

Principle 6 — plain language, defined terms, no unexplained jargon, symbols or acronyms.

Do visual elements give an honest impression?

Principle 7 — imagery, colours, logos and labels don't imply a benefit the product doesn't deliver.

Are you open about your sustainability transition?

Principle 8 — future targets are realistic, clearly framed as aspirations and backed by a credible plan.

Reference tool — not legal advice. Greenwashing risk depends on the specific wording, context and evidence behind each claim. Confirm material claims with a competition / consumer law adviser before publishing.

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Frequently asked questions

What law does greenwashing breach in Australia?
Misleading environmental or sustainability claims can breach the Australian Consumer Law — s18 (misleading or deceptive conduct) and s29 (false or misleading representations). For financial products and services the equivalent provisions are the ASIC Act (s12DB / s12DF) and Corporations Act s1041H. All carry civil penalties.
Who enforces greenwashing — the ACCC or ASIC?
Both. The ACCC leads on goods and general services, and ASIC leads on financial products and services (super, investments, insurance). ASIC has already secured civil penalties against super funds and issuers for greenwashing, and both regulators treat it as an enforcement priority.
What are the ACCC's eight principles for environmental claims?
(1) make accurate and truthful claims; (2) have evidence to back up your claims; (3) don't leave out or hide important information; (4) explain any conditions or qualifications; (5) avoid broad and unqualified claims; (6) use clear and easy-to-understand language; (7) ensure visual elements don't give the wrong impression; (8) be direct and open about your sustainability transition.
Are net-zero and future targets risky?
Yes. Forward-looking commitments must be clearly framed as aspirations, be reasonably achievable and be supported by a credible, documented transition plan. Overstated future targets are a primary enforcement focus, and mandatory climate-related financial disclosure is increasing scrutiny on these statements.

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