Green claims and the ACCC: what Adelaide businesses need to know before saying “eco” or “carbon neutral”

ACCC Guidance · Green Claims

More customers care about the environmental impact of what they buy, so it’s natural to want to tell them about the good things your business is doing. The catch is that environmental claims are an area the Australian Competition and Consumer Commission (ACCC) is watching closely.

On 20 October 2026, the ACCC released new guidance on emissions claims, adding to its 2023 guidance on environmental claims. This article explains what the ACCC expects, in plain English, and how to check the words and images on your website, ads and social media.

Why this matters for small businesses

The ACCC says businesses have responsibilities under the Australian Consumer Law not to make false or misleading claims, and that false or misleading environmental claims risk breaching that law.

The ACCC describes greenwashing as using any claim, or leaving out key information, in a way that makes a product or service seem better or less harmful for the environment than it really is. It also says businesses sometimes mislead consumers accidentally.

The ACCC has said that environmental claims and sustainability, with a focus on greenwashing, is a current compliance and enforcement priority.

What’s new: the October 2026 emissions claims guidance

The ACCC’s new guide is called Making emissions claims to consumers: a guide for business. In its announcement, the ACCC said businesses making greenhouse gas emissions claims should:

The ACCC also urged businesses to:

On carbon credits, the ACCC says they can complement direct emissions reductions. But if your marketing gives the impression that buying credits and your emissions are equivalent, or cancel each other out, you must have a reasonable basis for that claim. The ACCC wants consumers to be able to tell the difference between emissions you’ve actually reduced and credits bought from projects elsewhere.

The ACCC also noted that some large companies have moved away from vague, widely advertised “carbon neutral” claims and distant future targets, towards being more open about their real-world impact and their reliance on credits.

The eight principles for any environmental claim

The ACCC’s 2023 guidance sets out eight principles that apply to all environmental claims, not just emissions:

Words the ACCC recommends avoiding

The ACCC specifically names some broad terms it recommends businesses avoid, because they can be read in many ways:

Instead, the ACCC’s guidance points towards specific, qualified claims backed by evidence. Its own example is a product described as “does not harm the environment” when only the bottle is recycled. The ACCC suggests saying what is actually true, such as which parts are made from recycled material.

It’s not just the words

The ACCC says a business needs to consider the overall impression a claim creates, including what’s left out and the visual elements, colours and logos used. Green colours, leaf imagery or recycling symbols can all shape what a customer believes.

The ACCC gives the example of the recycling symbol (the mobius loop): without further explanation, it may suggest a whole product and its packaging are recycled or recyclable when that isn’t the case.

Small print matters too. The ACCC says small print shouldn’t hide the truth or conflict with the overall message of the claim.

Where to check your claims

Environmental wording often turns up in more places than people expect. Check:

A simple checklist

For each environmental claim you find, ask:

The ACCC’s advice for existing claims is straightforward: if a claim raises concerns, update the messaging, gather stronger evidence, or reconsider using it.

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