ACCC sounds green warning

NATIONAL: Brands which exaggerate the environmental sustainability of their products are at a risk of breaching the Trade Practices Act, the ACCC has warned.

The warning comes in the wake of a spike in cases against companies which falsely claim their products are environmentally friendly.

Speaking to the National Product Liability Association's meeting on green marketing, ACCC deputy chair Louise Sylvan said businesses needed to tread with caution in this area or risk prosecution.

"As companies try to position themselves with green credentials, it's getting hard to find a product without some kind of green claim. The right of consumers to choose wisely in the market is important – it's the basis of the free market."

Sylvan said dishonest environmental claims also undermined competition to produce cleaner and more efficient products and industries.

She advised businesses to read the ACCC's Green Marketing and Trade Practices Act guidelines carefully.