(Calgary) An oil and gas industry group is calling on Canada’s Competition Bureau to ensure environmental groups are held to the same standards of truth in advertising as other sectors under new federal greenwashing rules.
The Canadian Association of Petroleum Producers (CAPP), which represents the country’s oil and gas companies, said Thursday it has submitted formal recommendations to the bureau, which is developing guidelines on the new legislation.
The federal government passed legislation in June that included an amendment to the Competition Act requiring companies to be able to provide evidence to support environmental claims made to promote a product or business interest.
The passage of the law sparked an outcry in the oil and gas sector. CAPP, along with oil sands group New Pathways Alliance and a number of individual oil and gas companies, removed environmental content from their websites in the wake of the passage.
Industry representatives have argued that the legislation silences discussions about climate and environmental policies and potentially exposes companies to lawsuits from environmental groups and activist organizations.
In its submission to the Competition Bureau, the CAPP said it still believes the new law is so flawed that it should be repealed.
But as the Bureau drafts guidelines for the new arrangements, it should ensure that the rules apply equally to all sectors.
“This includes all types of organizations in Canada, including non-profit groups that engage in fundraising for charitable and non-profit purposes,” CAPP said. “The Competition Bureau should make it clear that parties, such as climate advocacy groups, are subject to the same standards with respect to their own communications and representations.”
The amendment to the Competition Act passed in June states that companies must not make claims to the public about what they are doing to protect the environment or mitigate the effects of climate change, unless those claims are based on adequate and appropriate justification in accordance with an internationally recognised methodology.
The provision is not specific to fossil fuels, but applies to all businesses and economic sectors.
Business groups have expressed concern that the new rules will limit disclosure of climate goals and ambitions to investors and financial markets, putting Canadian companies at a disadvantage compared to companies operating in other jurisdictions.