AANA steps up to tackle greenwashing: New Environmental Claims Code effective March 2025

As more people become aware of their environmental impact, they’re looking to the brands they support to be transparent and truthful about their sustainability efforts. But with the rise of “greenwashing”—where businesses exaggerate or mislead about their environmental credentials—there’s been growing concern about how much consumers can trust these claims. To combat this, the Australian Association of National Advertisers (AANA) is introducing an updated Environmental Claims Code, which went into effect on March 1, 2025. This new Code replaces the previous version that has been in effect since May 1, 2018, and is part of AANA’s effort to ramp up its fight against greenwashing in advertising.

Who is AANA?

The Australian Association of National Advertisers (AANA) is a leading voice in Australia’s advertising industry. They represent businesses and professionals in marketing and advertising, working to ensure that the industry upholds high ethical standards. AANA also collaborates with regulatory bodies like Ad Standards and the Australian Competition and Consumer Commission (ACCC) to make sure advertising stays fair, honest, and in line with community expectations. Their new code is all about keeping advertising transparent and giving consumers more confidence in the environmental claims they see.

What’s changing with the new code?

The new Environmental Claims Code will apply to any advertisement or marketing material that includes an environmental claim. That means whether it’s an ad you see online, on TV, or in print, if a brand is making any claims about their environmental practices, it needs to follow the updated rules.

The Code focuses on five clear principles to help businesses navigate the growing demand for transparency around environmental claims:

These rules are designed to help ensure that environmental claims are not only clear and truthful but also backed by evidence, providing more confidence to consumers and making advertising more transparent.

What happens if you don’t comply?

If a brand doesn’t comply with the new Code, complaints can be lodged with Ad Standards, Australia’s advertising regulator. If the complaint is upheld, the business will be required to amend or remove the ad, and the case will be made public. Businesses could also face legal action under Australian Consumer Law (ACL) if the claims are found to be misleading or false, which could harm their reputation and lead to financial consequences.

Why does this matter?

This update is a big step in making sure that businesses are held accountable for the environmental claims they make. As more Australians are choosing to support companies with strong sustainability practices, it’s essential that brands are transparent about their efforts. This isn’t just about avoiding legal trouble; it’s about creating trust and ensuring that consumers can believe what they see in advertising.

For businesses, this new Code offers a chance to strengthen your relationship with your audience by being clear and truthful about your environmental impact. It also highlights how important it is to back up any claims with solid evidence, which builds credibility and consumer trust.