The Competition Bureau announced the launch of a public consultation to gather inputs on specific questions related to the new greenwashing provisions of the Competition Act.
This consultation aims to inform the Bureau’s development of enforcement guidance concerning environmental claims, including those related to the new provisions.
The Competition Act was amended in 2022, which increased penalties for misleading advertising and deceptive marketing practices. In recent years, the Bureau has intervened in two notable cases involving false or misleading environmental claims: Keurig and Volkswagen. These interventions are part of the Bureau’s efforts to address deceptive marketing practices and ensure truthful advertising.
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Furthermore, to raise awareness about greenwashing, the Bureau issued a consumer alert in 2022, encouraging the public to report any suspected deceptive marketing claims through their online form. This alert was part of a broader effort to enhance consumer protection and promote fair market competition.
Following a series of amendments on June 20, the Competition Act now includes new provisions about greenwashing. Businesses must now have testing or substantiation to support certain environmental claims.
The Bureau invites interested parties to provide feedback on the consultation questions by September 27. Submissions can be emailed to [email protected] and will be published on the Bureau’s website unless confidentiality is requested.
In addition to the consultation announcement, the Bureau has released a new edition of the Deceptive Marketing Practices Digest. This edition addresses environmental claims and aims to provide a foundation for understanding the issues around such claims and how businesses can comply with existing provisions of the Competition Act.
In a statement, Commissioner of Competition Matthew Boswell said, “The Competition Bureau has received many requests for guidance on interpreting new provisions of the Competition Act aimed at greenwashing. Through our consultation on these new provisions, we will provide guidance that will offer transparency and predictability for Canadians.”