Canada's Competition Bureau opens investigation into the Canadian Gas Association's alleged greenwashing of methane gas as clean

Decision comes during COP27 in response to complaint filed by six concerned Canadian doctors, nurses and public health advocates against gas industry lobby group and its members such as Enbridge, ATCO, Fortis, and Énergir

OTTAWA, ON and SHARM EL-SHEIKH, Egypt, Nov. 10, 2022 /CNW/ - The Canadian Gas Association (CGA) is under investigation for alleged false and misleading claims in its advertising that "natural" gas is clean and affordable, Canada's Competition Bureau has confirmed.

The announcement comes as world leaders converge in Egypt for COP27. On Tuesday, the United Nations High-Level Expert Group on the Net-Zero Emissions Commitments of Non-State Entities - led by former federal minister Catherine McKenna - released its report and recommendations to serve as "a roadmap to prevent net zero from being undermined by false claims, ambiguity and 'greenwash.'" 

Competition Bureau Canada is a federal law enforcement agency responsible for protecting consumers from companies making false and misleading statements to promote their business interests. The inquiry responds to a complaint filed in September by Dr. Melissa Lem, Dr. Ulrike Meyer, Dr. Genevieve Ferdais, Jacqueline Avanthay Strus, RN, Dr. Leah Temper, PhD, and Melissa Daniels, supported by the Canadian Association of Physicians for the Environment, asking for an investigation into the CGA for greenwashing.

If the Competition Bureau inquiry confirms that CGA's statements are misleading and false, the CGA and its member companies would be forced to stop advertising methane gas as clean and affordable and issue a retraction. They could also be ordered to pay a $10 million fine.

The complaint alleges that the CGA's representations of "natural" gas as "clean" are false and misleading. When properly accounted for, "natural" gas has comparable greenhouse gas emissions to coal, in part because methane, the main ingredient in "natural" gas, has up to 80 times the climate-warming potential of carbon dioxide. The extraction and production of gas also pollutes the air and contaminates water sources, while closer to home, gas appliances cause indoor air pollution and pose a serious health risk for children's respiratory health.

The complaint further alleges that the CGA's claims of methane gas being more affordable than other home energy systems are misleading. It cites a 2022 report from Natural Resources Canada showing that low-carbon heat pumps are already cheaper than gas heating in most of Canada. It also flags the CGA's own undisclosed studies forecasting that the price of methane gas to customers will increase significantly due to climate policies.

Last month, the Competition Bureau opened an inquiry into RBC's allegedly false advertising regarding its climate commitments while it is one of the biggest financiers of fossil fuels in the world. These cases show that the Competition Bureau is increasing its scrutiny on fossil fuel disinformation and net zero claims, but that broader regulation is necessary to tackle the scale of this problem.

Dr. Melissa Lem said: "In a year where millions of people across the planet have been displaced, sickened and killed by extreme weather events, it is unconscionable for the fossil fuel industry to continue to greenwash its deadly products and drive consumer demand for fossil fuels that harm our health. As the world converges for COP27, decision-makers and regulators in Canada and beyond must step up to end corporate greenwashing."

The Canadian Association of Physicians for the Environment (CAPE) is a non-profit organization working to secure human health by protecting the planet.

SOURCE Canadian Association of Physicians for the Environment (CAPE)

Media Contact: Pamela Daoust, National Communications Director, Canadian Association of Physicians for the Environment, 647-930-0236 | [email protected]