Claims assessment · Entity claim
Carbon neutral company
Typical treatment across 5 reviewed regimes. Every verdict below is tied to a stated legal hook.
Market comparison
How this claim is typically treated
5 reviewed markets · one comparison
| Market | Typical treatment | Legal basis | What is required |
|---|---|---|---|
| European UnionEU | Restricted | Corporate Sustainability Reporting Directive (CSRD)Official text ↗Empowering Consumers Directive (EmpCo)Official text ↗ View legal reasoningEmpCo Annex I pt 4c covers impact of the trader; UCPD Art 6/7; CSRD/ESRS E1 context | Distinguish achieved reductions vs offsets; publish GHG inventory (Scopes 1-3), trajectory, offset share |
| United KingdomUK | Restricted | View legal reasoningCMA Green Claims Code; DMCC Act 2024 | Dictionary termBaseline yearThe reference year against which emissions performance, reductions or target progress are measured.Read the full definition and scopes stated; avoid implying reductions where offsets dominate |
| United StatesUS | Restricted | California AB 1305 — Voluntary Carbon Market Disclosures ActOfficial text ↗FTC Green GuidesOfficial text ↗ View legal reasoningFTC 260.5; CA AB 1305 (entity-level claims expressly covered) | AB 1305 website disclosures; offsets quantified, not double-counted |
| CanadaCA | Restricted | View legal reasoningCompetition Act s.74.01(1)(b.1)–(b.2), as amended by Bill C-15 (2026) | Product-level claims need an Dictionary termAdequate and proper testProduct-level environmental benefit claim requires testing **before** the claim; test must fit the claim's representationRead the full definition ; business/activity-level claims need Dictionary termSubstantiationThe documented body of relevant, reliable and current evidence that supports the exact wording, scope, comparison and overall impression of a claim before and while it is communicated.Read the full definition (the internationally recognised methodology requirement was repealed); reverse onus remains; private Tribunal access for business-level claims was removed. |
| AustraliaAU | Restricted | A direct source link has not yet been added for this assessment. View legal reasoningACL s.18; ASIC/ACCC enforcement precedent | Scopes 1-3 boundary clarity; AASB S2 reporting supports Dictionary termSubstantiationThe documented body of relevant, reliable and current evidence that supports the exact wording, scope, comparison and overall impression of a claim before and while it is communicated.Read the full definition |
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Review your exact wordingEvidence context
Standards and schemes relevant to this claim
These relationships are conditional. A listed standard does not automatically prove every use of the claim.
Disclosure against this standard provides evidence relevant to the claim; the standard does not certify performance.
Corporate Standard (rev. 2004); Scope 2 Guidance (2015); Scope 3 Standard (2011); Product Standard (2011); Land Sector & Removals Standard (2026-01-30)Relationship basis: Standards review 02 · source-linked relationship review · 24 August 2026ISO 14068-1 (Carbon Neutrality)Reporting standard · Provides evidence relevant toDisclosure against this standard provides evidence relevant to the claim; the standard does not certify performance.
ISO 14068-1:2023 (carbon neutrality)Relationship basis: Standards review 02 · source-linked relationship review · 24 August 2026SBTi Target ValidationRating platform · Provides evidence relevant toRating/score is third-party assessment evidence; verify scope, year and methodology version before citing.
Corporate Net-Zero Standard V1.3.1 + Near-Term Criteria V5.3.1 (ACA v3.0.1, 2026-04-29)Relationship basis: Standards review 02 · source-linked relationship review · 24 August 2026