TotalEnergies sued environmental groups over climate marketing claims

LONDON/PARIS (Reuters, March 3, 2013) – A group representing environmental groups has filed a lawsuit against TotalEnergies (TTEF.PA), France’s largest energy company. They accuse it of misleading consumers about their efforts to combat climate change.

The claim was served on TotalEnergies. It was to be filed at the Paris Judicial Court. It concerns the company’s “reinvention” marketing campaign. Claimants allege that the campaign violated European consumer laws by suggesting TotalEnergies could achieve net-zero emissions by 2050 while still producing fossil fuels.

Environmentalists have long complained of corporate “greenwashing”. This is defined as marketing or public relations campaigns that try to conceal pollution or make a company’s activities appear more environmentally friendly than they actually are.

TotalEnergies stated to Reuters that it was implementing its strategy “concretely”, through investments and reducing greenhouse gas emissions. It was also acting in accordance with the company’s objectives. It is wrong to claim that our strategy has been “greenwashed”.

The adverts, which were launched globally in May 2021, stated that TotalEnergies was committed “to being a major player in energy transition” and aimed to achieve carbon neutrality by 2050.

The campaigners claim that the company planned to increase its production of fossil fuels, such as oil and natural gas, which is key contributor to man-made global warming.

The International Energy Agency reported last year that no new oil and gas fields should develop after this year, if the world wants to limit global warming to 1.5 degrees Celsius above pre-industrial levels by 2050.

Claimants claim that TotalEnergies violated the European Unfair Consumer Practices Directive. This directive prohibits misleading practices, which can include promoting false information or leaving out relevant information that could impact consumer decision-making.

This case is part of a growing number of legal challenges to corporate climate efforts. It was brought by Greenpeace France and Friends of the Earth France, and supported by environmental lawyers ClientEarth.

“We must protect consumers from disinformation PRstrategies that leave them trying to discern fact from fiction, and delay the urgent climate actions we need,” Clara Gonzales (legal counsel at Greenpeace France) stated in a statement.

TotalEnergies previously stated that it expected its oil production to peak in 10 years. This was due to an increase of around 3 percent per year by 2026, mainly driven by the growth in liquefied natural gases (LNG), which is expected at 6% per annum.

It expects to spend $13-15 Billion annually between 2022-25. Half of that will be used to develop new energies, mainly electricity and 50% to natural gas.

Climate pledges are becoming more popular among companies. Investors as well as climate activists are increasingly scrutinizing their actions to see if they can contribute to the world’s goal of net zero emissions by 2050.

TotalEnergies is a major investor group that engages with companies to discuss climate transition plans. It has also expressed concern about its efforts, which includes the absence of a target for reducing emissions from the consumption of its products by consumers.

“We’ve seen an enormous rush to adopt the language…even oil companies which have a real struggle to get to net zero,” stated Thomas Hale, a global policy researcher at Oxford and co-lead of The Net Zero Tracker Project.

“Companies that take on these targets are subject to additional scrutiny to ensure they’re actually walking the talk.”

Reporting by Simon Jessop from London; Editing By David Gregorio

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