Navigating Greenwashing Risk and Compliance

Greenwashing in 2025: What Aussie Businesses Need to Know

Greenwashing is under the microscope—and for good reason. With the ACCC naming it an enforcement priority, Aussie businesses are being called to lift their game when it comes to environmental and sustainability claims.

In a recent session led by L’Oréal ANZ’s sustainability leader, Olivia Whitaker we got a crash course in how to navigate this complex space. The big takeaway? It’s not enough for claims to be technically true—they also need to create the right impression for consumers. That means no vague language (think “eco-friendly” or “green”), no overpromising, and no dodgy visual cues like fake trust marks or misleading imagery.

The ACCC’s final guidance, released in late 2023, lays out eight clear principles for credible sustainability claims. From being transparent about product lifecycles to avoiding absolute terms like “100% recyclable” without clear context, the message is clear: businesses must back up their claims with solid evidence, not marketing fluff.

Internationally, countries like Denmark, the Netherlands, and the UK are also cracking down. And with Australian Senate inquiries underway, we’re likely to see even tighter expectations moving forward.

One important reminder: fear of greenwashing shouldn’t push brands into greenhushing. Honest, transparent communication about your sustainability journey—warts and all—is what builds long-term trust.

So, if you’re working in ESG, now’s the time to get your house in order.