Summary
- Bill C-59 became law in Canada in 2024, requiring companies to substantiate their environmental claims with proper testing or internationally recognized methodology
- Fossil fuel companies removed greenwashing claims from their websites in response to Bill C-59
- Claims of zero emissions for hydrogen vehicles are not supported by proper testing or methodology
- Well-to-wheel emissions are considered the global benchmark for assessing environmental impact of vehicles
- Companies making false claims about zero emissions for hydrogen could face fines or legal action under Bill C-59
Article
In 2024, Canadian oil and gas companies and lobbying groups removed claims of environmental virtue from their websites and social media due to the passage of Bill C-59, which grants the Competition Bureau new powers to scrutinize and take enforcement action against false or misleading environmental claims. This legislation requires companies to substantiate their environmental claims with proper testing and methodology, aligning Canada with its major trading partners like the United States, Europe, and China. This has led to criticism from right-wing media and fossil fuel companies, who have also removed their greenwashing content.
While the focus has been on fossil fuel companies, organizations promoting hydrogen fuel cells and electric vehicles in Canada should also be concerned about their claims of low emissions. Many Canadian organizations, including New Flyer, Deloitte, and Ballard, are promoting hydrogen vehicles as zero emissions, but these claims do not align with internationally recognized methodologies like well-to-wheel emissions analysis. Hydrogen emissions must be considered across the entire energy lifecycle, and many hydrogen claims in Canada are in violation of Bill C-59.
The method of manufacturing hydrogen, its global warming potential, degree of leakage, and transportation all contribute to its overall emissions. Hydrogen emissions from methane reformation or production in Canada can be significantly higher than diesel emissions, even with carbon capture technologies. Additionally, hydrogen has a global warming potential that significantly impacts its greenhouse gas emissions, making claims of zero emissions misleading and inaccurate.
The article highlights various organizations, standards, and models that support well-to-wheel emissions analysis as the gold standard for evaluating the environmental impact of vehicles. Hydrogen fuel cells are shown to have high emissions compared to battery electric vehicles, which are considered the closest thing to zero emissions. The article stresses that claims of zero emissions for hydrogen transportation are false and may result in legal action under Bill C-59.
Companies found guilty of greenwashing under Bill C-59 may face fines of up to 3% of their global revenue or $15 million per breach. The legislation also allows private organizations to challenge misleading advertising practices in court, increasing accountability and transparency in commercial messaging. Environmental litigation in Canada has been growing, with cases against government policies and corporate practices challenging inadequate greenhouse gas targets and oil development projects.
Overall, the article emphasizes the importance of assessing the liability of organizations making false claims about hydrogen and its emissions. Companies promoting hydrogen as zero emissions should be aware of the legal implications under Bill C-59 and consider removing misleading content from their websites and social media. The shift towards well-to-wheel emissions analysis and increased accountability for greenwashing practices will likely impact the future of hydrogen fuel cell technology in Canada.
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