ARTICLE
28 February 2023

Green Energy - When Is 100% Actually 100%?

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Global Advertising Lawyers Alliance (GALA)

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The Advertising Standards Authority of Ireland (ASAI) has warned energy companies against using claims that energy plans are 100% renewable...
Ireland Energy and Natural Resources

The Advertising Standards Authority of Ireland (ASAI) has warned energy companies against using claims that energy plans are 100% renewable following an investigation arising from a complaint about an advertising campaign.

The complaint and subsequent investigation surrounded the use of the phrase "100% renewable" for packages being sold to consumers. The investigation found that such packages were still powered by electricity from fossil fuels including gas, oil, coal and peat. In fact, Ireland has only enough wind farms and solar parks to supply about 30-40% of the electricity requirements.

Companies were instead relying on the European "Guarantee of Origin" scheme which allows them to buy certificates from renewable energy providers outside of Ireland and set them off against energy usage in Ireland. The renewable energy is not used in Ireland as the power could not be generated abroad and used in Ireland.

The Guarantee of Origin scheme is legal and overseen in Ireland by the Energy Regulator. The small print of most energy packages also contains a full explanation of the scheme and how it relates to any 100% renewable claim. However the ASAI investigation concluded that claims based on it are misleading to consumers and in breach of six different sections of the ASAI Code. It stated that the claim must be dropped from marketing materials not only of the company which was the subject of the complaint but also from the marketing materials of other energy companies with similar packages.

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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