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TotalEnergies on trial in landmark greenwashing case in France / Photo: © AFP/File
NYSE - LSE
TotalEnergies on trial in landmark greenwashing case in France
French oil and gas giant TotalEnergies goes on trial in Paris on Thursday over allegations of misleading climate claims, an unprecedented "greenwashing" case against a fossil fuel firm in France.
The civil case stems from a March 2022 lawsuit by three environmental groups accusing the French energy giant of "misleading commercial practices" for saying it could reach carbon neutrality while continuing oil and gas production.
Starting in May 2021, TotalEnergies advertised its goal of "carbon neutrality by 2050" and touted gas as "the fossil fuel with the lowest greenhouse gas emissions".
At the time, the company had also changed its name from Total to TotalEnergies to emphasise its investments in low-carbon energy, such as electricity.
The plaintiffs have logged around 40 "false advertisements" in their lawsuit.
The ads "don't sincerely reflect the reality of TotalEnergies' operations", Apolline Cagnat, a legal counsel at Greenpeace, told AFP.
Cagnat said the NGOs want the court to send a "strong signal" to fossil fuel companies by ordering "an immediate stop, under penalty, of the misleading commercial practices".
TotalEnergies disputes the charges, insisting the messages are part of its institutional communication, regulated by financial authorities -- not consumer law.
It argues no consumer organisation is party to the case, and that the NGOs are misusing consumer protection rules to challenge its corporate strategy.
Environmental groups in recent years have turned to the courts to establish case law on companies misleading consumers by appearing more eco-friendly than they are.
In Europe, courts ruled against Dutch airline KLM in 2024 and Germany's Lufthansa in March over misleading consumers about their efforts to reduce the environmental impact of flying.
In Spain, utility Iberdrola failed to secure a conviction against Spanish oil and gas company Repsol over similar allegations of "false" environmental claims.
A greenwashing case against Australian oil and gas producer Santos, challenging its claim to be a "clean fuels" company, has been ongoing since 2021.
Based on a European Union directive targeting unfair commercial practices, the TotalEnergies lawsuit is the first time a French court has heard such a case against a fossil fuel company.
The NGOs said the Paris court will rule, for the first time in the world, on the legality of ads presenting gas as essential to the energy transition.
Climate experts say methane leaks from the gas industry have a powerful warming effect on the atmosphere.
TotalEnergies maintains it has not engaged in misleading commercial practices.
The company says it plans to show that its messages "about its name change, strategy and role in the energy transition are reliable and based on objective, verifiable data".
H. de Araujo--JDB
