The Australian Association of National Advertisers (AANA) is on a mission to put an end to greenwashing in advertising and marketing with the launch of an environmental code.
Today, the body released an exposure draft of the Environmental Claims Code for public comment, geared at advancing the industry towards a sustainable future.
In a conversation with Mediaweek, AANA chief executive officer Josh Faulks laid emphasis on the motivation driving the industry body’s dedication to the cause: “There is some good out there. That’s why we say we’re committed to stamping out greenwashing because it is not good for all of the responsible advertisers, our responsible members that are doing good stuff, and want to be able to talk about the good stuff they’re doing.”
It comes as the focus on greenwashing and companies making false environmental claims come under scrutiny by a number of government agencies.
The Australian Competition & Consumer Commission (ACCC), has announced a crackdown on greenwashing, with the consumer watchdog this month publishing its draft guidance to improve businesses’ environmental claims.
The Australian Securities and Investment Commission (ASIC) is also on a mission to target greenwashing practices, with a focus on advertising claims made by investment and superannuation funds.
See also: ASIC commits to continue greenwashing crackdown in 2024
“These codes apply to all advertising across all channels at all times, so it impacts everyone out there who wants to advertise or make an environmental claim,” stressed Faulks.
“This is such an important issue that we wanted to do another round of public consultation to go as broad as possible to make sure the views of the public, the views of the industry, and the views of the government are taken into account.”
AANA describes the code as an integral part of the advertising self-regulatory system, crucial for how it complements Australia’s consumer protection laws and ACCC’s new guidance.
Faulks outlined the revisions to the code, stating, “It widens the scope of the previous code to capture images, vague or broad environmental claims, and imposes a really clear obligation on companies to ensure that environmental claims about future actions or targets aren’t realistic and achievable.”
The exposure draft follows AANA’s Environmental Claims Code review, conducted just over a year ago, to ensure the code was accurately aligned with an evolution in key external factors affecting the industry.
“One of the first things I did when I came into this role … was bring forward to review the Environmental Claims Code to respond to two pretty significant developments,” said Faulks.
“One is a pretty big change in community expectations and community standards when it comes to concerns around greenwashing and environmental claims, and the second thing was a shift in international best practices… and some expectations from the government that things need to change.”
While advertisers in Australia already face strong incentives for compliance with advertising codes given the potential reputational damage and financial repercussions of non-compliance, Faulks asserts that the AANA aims to further restore public confidence in environmental claims made by the advertising industry through the adoption of its Environmental Claims Code.
Faulks describes the role of Australian advertisers in shaking a sustainable future as “critical.”
“The second part of that is, the industry has a strong role to play in that transition to a sustainable future. And [there’s] a range of things the industry can do, but even just the influence of consumer behaviour is a really strong area in which we can contribute.”
“One of the things we can do is make sure that environmental claims are accurate, and we restore that confidence back in the system.”
See also: AANA crackdown on “subtle” influencer activity targeting children
While the AANA has demonstrated its commitment to stamping out greenwashing, Faulks also expressed concern about avoiding scaring brands from discussing sustainability efforts for fear it may stifle the conversation entirely.
“We need to be careful that we don’t create an environment where brands are scared or unwilling to talk about the important work they’re doing around sustainability and moving to a low-carbon future,” warned Faulks.
“If we create an environment where brands do not want to put their head above the parapet because they’re scared of being fined or criticised within the media, then we won’t be talking about the stuff we need to do to meet that sustainable future.”
While industry bodies and media owners are responsible for enforcement of compliance, the AANA reminds them of their role in providing support for enforcement where needed.
“Importantly, the community also has a voice through the independent complaints handling system, administered by Ad Standards,” Faulks added.
The comment period is open until 5pm on Friday, March 22, 2024.
See also: AANA celebrates a successful 2023 and unveils initiatives for the year ahead
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Top Image: Josh Faulks