Adelaide, December 06, 2025
The Australian Competition and Consumer Commission (ACCC) has initiated legal proceedings against Australian Gas Networks (AGN) over misleading advertising claims suggesting that gas supplied in South Australia is \”clean and green.\” The ACCC alleges these claims constitute greenwashing and lack reasonable scientific and economic basis.
Allegations Against Australian Gas Networks
The ACCC’s suit centers on AGN’s \”Love Gas\” advertising campaign, broadcast on television and digital platforms. These advertisements asserted that the network’s gas would be renewable within a generation. However, the regulator contends AGN has no reasonable grounds for such a claim, given current technological and economic realities. The ACCC argues the distribution of renewable gas at scale and at economically viable prices remains unachievable, making the assertions misleading to consumers.
Current State of Renewable Gas Projects in South Australia
South Australia has initiated limited renewable gas projects, such as a 1.25MW hydrogen facility commissioned in 2021 and plans for a 10MW project expected by late 2025. Despite these developments, renewable gas remains in nascent stages, insufficient to support claims of large-scale renewable gas distribution. AGN’s advertisements do not reflect these constraints, thus contributing to misinformation about the clean energy potential of the current gas supply.
Wider Regulatory Context and Related Actions
This legal action is part of an intensifying regulatory crackdown on greenwashing within Australia. The ACCC has also recently obtained significant court penalties against companies like Mercer Superannuation for misleading sustainable investment claims. These cases underscore increasing scrutiny on industries making environmentally related claims without substantive evidence.
Impact on Industry and Policy
The ACCC’s case highlights broader concerns about gas industry practices and public relations campaigns that promote fossil fuels under environmentally friendly premises. Critics warn that such misinformation stalls climate action and undermines efforts to transition to genuine renewable energy sources. South Australian government and federal authorities face growing pressure to reconcile energy security messaging with the realities of greenhouse gas emissions and renewable alternatives.
The outcome of the ACCC’s lawsuit against AGN may set a precedent for stricter oversight of fossil fuel advertising in Australia, signaling to businesses the importance of verifiable and transparent environmental claims in their communications.