Greenwashing is when a company exaggerates or misrepresents the environmental benefits of its products and practices, often to appear more environmentally friendly than it is.

Carbon offsets ‘do not prevent or undo harms’ caused by fossil fuels

The Go Neutral scheme was introduced in 2016 and allowed residential customers to pay to offset emissions associated with their electricity and gas use.

“In recent years, questions have begun to emerge about the benefits of carbon offsets, including those offered as part of certified Government programs such as Climate Active and whether they are having the impact intended,” Gibson said.

“EnergyAustralia is now focused on more effective ways of helping its customers to directly reduce the emissions associated with their energy use.”

Parents for Climate CEO Nic Seton says the acknowledgement will “set a new standard” for the way carbon offset products are sold to customers. Source: AAP / Bianca De Marchi

‘Will set a new standard’