<div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>One of Australia's largest energy firms has issued an apology to more than 400,000 customers, acknowledging that carbon offsets "do not prevent or undo harms" caused by burning fossil fuels.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>EnergyAustralia issued the statement early on Monday following a lawsuit launched by Parents for Climate that had been scheduled to be heard in the NSW Federal Court on Wednesday last week.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The group, with more than 20,000 members, called EnergyAustralia's acknowledgement a win for Australian consumers but said it could also set a standard for the use of carbon offsets and environmentally friendly marketing by other companies.</span></div></div><div><div id="adspot-mobile-medium"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><strong><span>READ MORE: </span></strong><a href="https://www.9news.com.au/national/weather-warning-nsw-central-coast/0dcd643e-afbb-4731-aa85-faa7a5ecf218"><strong><span>Residents brace for flooding rains, damaging winds</span></strong></a><strong></strong></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The lawsuit, filed in August 2023, claimed the energy generator and retailer misled customers using its Go Neutral products that were marketed as "carbon neutral" due to the purchase of carbon offsets and claimed consumers would have a "positive impact on the environment".</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>In its statement, EnergyAustralia apologised to customers who felt the marketing claims were unclear and acknowledged carbon offsets did not reverse environmental harm.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"While offsets can help people to invest in worthwhile projects that may reduce greenhouse gas emissions elsewhere, offsets do not prevent or undo the harms caused by burning fossil fuels for a customer's energy use," the statement said.</span></div></div><div><div class="OUTBRAIN" data-reactroot="" data-src="//www.9news.com.au/national/energy-australia-apology-400000-customers-carbon-offsets/7693470e-bfec-4889-987f-389021059cdf" data-widget-id="AR_5"></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"Even with carbon offsetting, the emissions released from burning fossil fuels for a customer's energy use still contribute to climate change."</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>EnergyAustralia withdrew its Go Neutral plans from the market in 2024, and chief customer officer Kate Gibson said the company would focus on direct efforts to reduce emissions in future.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><strong><span>READ MORE: </span></strong><a href="https://www.9news.com.au/world/joe-biden-diagnosed-with-aggressive-prostate-cancer/e9ddc669-72e2-458c-9f00-8bb4c0e70af4"><strong><span>Trump's surprise message after Biden's cancer revelation</span></strong></a><strong><span></span></strong></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"Carbon offsets should not be used to delay or diminish the important work that needs to be done to actively decarbonise," she said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The energy giant's acknowledgement should herald a fresh approach to the use of carbon offsets in Australia, Parents for Climate chief executive Nic Seton said, as greenwashing had become too common.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"Parents have spent too long trying to make careful, considered decisions about where their money goes, especially in a cost-of-living crisis, but corporate greenwashing has pushed them off track," he said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"This isn't just about EnergyAustralia – it's about holding companies to a higher standard across the board."</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>Australian regulations for corporate environmental claims were not strong enough, Mr Seton said, and the government should consider ending Climate Active carbon neutral certification that had been under review since October 2023.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>The outcome of the court case could set a standard for corporate environmental claims in Australia, Equity Generation Lawyers principal lawyer David Hertzberg, who represented the charity, said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>"Today's outcome is a watershed moment in greenwashing litigation in Australia," he said.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><span>EnergyAustralia ranked as Australia's third-largest emitter in 2023-2024, according to statistics from the Clean Energy Regulator, and has more than 1.6 million customers.</span></div></div><div class="block-content"><div class="styles__Container-sc-1ylecsg-0 goULFa"><a href="https://www.9news.com.au/national/how-to-follow-9news-digital/29855bb1-ad3d-4c38-bc25-3cb52af1216f" target="_blank"><strong><em><span>DOWNLOAD THE 9NEWS APP</span></em></strong></a><strong><em><span>:</span></em></strong><span> </span><em><strong><span>Stay across all 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