Climate Active has measures in place to protect the integrity of the program and our carbon neutral certifications. This page outlines the requirements for brands participating in the program, and our compliance policy and processes.

Standards

To be certified, a brand must meet the requirements of the relevant Climate Active Carbon Neutral Standard. These voluntary standards provide best practice guidance on how to measure, reduce and report emissions data. 

 

To read more about the certification process, head to Certification.

 

To learn more about the Climate Active Carbon Neutral Standards, head to Tools and resources.

 

Licence agreement

If Climate Active provides in-principle approval of a brand’s application, we will ask them to sign a licence agreement. The standard template is available on our website.

 

The licence agreement outlines the brand’s program obligations, including:

  • the relevant certification standard
  • terms and conditions
  • fees
  • the schedule for reporting, third-party validation, and certification.

 

Trade mark use and public communications

The Climate Active trade mark can be used for certified organisations, products, services, buildings, events and precincts. The trade mark can only be used where a licence agreement has been signed and the brand has received a Notice of Certification. 

 

Certified brands must seek approval from Climate Active to use the Climate Active trade mark. There are strict requirements around use of the trade mark and public communication of Climate Active claims, including carbon neutral claims. These are outlined in our licence agreement.

 

Unauthorised use or misuse of the Climate Active brand, trade mark or marketing material may result in suspension from the program or termination of a brand’s certification.

 

We provide brands with guidance to help them understand their obligations and accurately communicate their claims. We also conduct regular compliance checks of current and inactive brands to determine they are using the trade mark appropriately.

 

We encourage brands to check their Climate Active and environmental communications against:

 

Reporting requirements

Once a brand signs the licence agreement, we send them reporting templates to complete. 

 

This includes the following documents:

 

It usually takes brands 3 to 12 months to complete the initial reporting package and obtain certification. We review a brand’s initial reports to make sure they meet the standard and the licence agreement. Brands may be asked to revise the documents if they are incomplete, potentially misleading, or do not follow the relevant standard.

 

To maintain certification, certified brands must submit updated reporting documents each year within the agreed timeframes. We review annual reports for completion and clarity to support public understanding.

 

More information on reporting requirements is outlined in our Compliance policy.

 

Public Disclosure Statements

A certified brand’s first Public Disclosure Statement records the outcome of the certification process. They are then required to submit an updated statement each year (also known as an annual report) to maintain certification.

 

The statement includes the brand’s carbon account, emissions reduction strategy and carbon offset information. 

 

Climate Active publishes all statements on our website to make them easily accessible to the public. Brands should also publish their statements on their own website. 

 

It takes time to thoroughly review these statements and work with the brand to address any amendments. 

 

Eligible offset units

Climate Active brands must offset their residual emissions by using ‘eligible offset units’. Brands choose their preferred carbon credits from the full list of eligible offset units. A brand’s offsets must be captured in their annual reporting documents.

 

Climate Active encourages brands to do their own due diligence on the individual offset projects they choose. This includes the carbon abatement method and other social, cultural and economic information about the project.

 

Climate Active reviews reporting documents only once the full details of all offset units used for the certification are included. This check confirms the offsets are eligible, the number of offsets matches the reported emissions, and there is evidence of purchase and surrender. This process ensures the certification meets the required standards.

 

Validation requirements

Brands must have their carbon accounts independently validated by a third party, as set out in the standards and licence agreement. The validation requirements depend on the type of certification and may include verification or audit. 

 

Third-party validation must be completed at the time of application, and at any point when a base year recalculation is required.

 

All certifications require a technical assessment of the methodology used to prepare a carbon neutral claim. This can be completed by a registered consultant.

 

A technical assessment is completed at the time of application, and then every 3 years or when a base year recalculation is required. Small businesses and small events are excluded from this requirement. This assessment ensures appropriate rigour in the development of an organisation’s carbon budget. 

 

All validation reports must be submitted as part of the reporting requirements.

 

Delays in publishing reports

Climate Active carefully assesses certification applications and annual reporting documents. This assessment process means there is a delay between a brand submitting their annual reporting and its publication on the Climate Active website. 

 

During this time, a certified brand may appear to only be certified for previous years. This happens while Climate Active reviews the documents and the brand addresses any required changes. A backlog of submissions can also cause a delay.

 

Climate Active publishes a certification status on our website to show which brands have met their reporting requirements. If a brand is listed as ‘active’, the brand has met its reporting requirements and is compliant with the licence agreement. More information on our compliance policy is outlined in Compliance policy.

Compliance policy

Our compliance policy protects the integrity of the program. The policy is focused on ensuring certified brands meet their obligations under the licence agreement. It also gives the public clear visibility of each brand’s certification status.

 

To be compliant, a brand must:

  • meet the requirements of the relevant standard
  • follow the relevant reporting schedule
    • this includes submitting reporting documents to Climate Active by the due date and to our reasonable satisfaction
  • pay all fees on time
  • use the trade mark correctly. 

 

Climate Active is a voluntary program. Compliance issues are managed through a graduated, risk-based approach. 

 

We work proactively with non-compliant brands to help them return to compliance. We allow reasonable time and opportunity to fix issues, and most brands respond constructively and meet the program requirements. 

 

If a brand is non-compliant, we notify them as soon as possible in writing. This notice outlines the steps to fix the non-compliance along with a deadline.

 

We assign a ‘pending’ status to the brand’s profile on our website before we begin the formal compliance process. 

 

Suspension

Climate Active may suspend a brand’s certification if they are non-compliant. 

 

Suspension can be the first compliance step prior to terminating a brand’s certification and is used when there is evidence the brand intends to continue with the program.

 

A suspension can last for up to six months to give the brand time to address the non-compliance. 

 

If the brand returns to compliance, the suspension will be lifted and the certification will be reinstated. The suspension period will be noted on the brand profile on our website to support transparency.

 

If the brand does not address the non-compliance within six months, Climate Active will terminate their certification and may cancel their licence agreement.

 

Suspended brands are listed on the Climate Active website under Inactive Brands.

 

Termination

 

In cases of continued or serious non-compliance, Climate Active may terminate a brand’s certification and their licence agreement. Terminating a brand’s licence agreement is the final compliance action available under the program.

 

Climate Active gives terminated brands clear advice on their responsibilities upon termination. 

 

This includes advice on outstanding reporting obligations and the need to remove any public certification claims. 

 

Terminated brands are listed on the Climate Active website under Inactive Brands.

 

Withdrawal

Certified brands can choose to exit the Climate Active program at any time.

 

A brand must give Climate Active at least 30 days’ notice of intent to withdraw. Climate Active will then provide a formal notice of withdrawal.

 

This notice outlines the effective withdrawal date and any outstanding obligations to close out the brand’s participation in the program. The brand is considered certified up until the withdrawal date.

 

Withdrawing from the program is a matter for each brand, based on their individual circumstances. Brands do not need to explain to Climate Active why they are withdrawing from the program. 

 

We offer the opportunity for withdrawing brands to provide feedback on their decision to leave the program.  

 

Some reasons cited for withdrawing include:

 

Withdrawn brands are listed on the Climate Active website under Inactive Brands.

 

Obligations for inactive brands

All suspended, terminated and withdrawn brands are responsible for meeting their outstanding obligations under their licence agreement.

 

If a brand receives a notice of suspension, withdrawal or termination, they must:

  • stop using the Climate Active trade mark
  • remove references to ongoing Climate Active certification in their materials
  • stop claiming a connection to Climate Active.

 

Products manufactured and packaged before the suspension, withdrawal or termination can still be sold until existing packaged stock is exhausted. 

 

Suspended, withdrawn and terminated brands are also expected to provide annual reports for certified periods up to the date of withdrawal or termination. 

 

Climate Active undertakes all reasonable steps to notify inactive brands about their outstanding obligations. However, the responsibility for meeting these obligations rests with the brand.

 

Should a brand continue to make inaccurate or misleading claims, including misusing the Climate Active trade mark, we may refer them to the Australian Consumer Competition Commission for investigation.

 

Compliance checks

In addition to the standard program compliance processes outlined above, Climate Active undertakes regular compliance checks on current and inactive brands. 

 

These checks aim to ensure any use of the trade mark or public claims about a brand’s certification status are accurate and appropriate.

 

If you notice a brand making a Climate Active claim that seems inaccurate or misleading, including misusing our trade mark or brand logo, please contact us at Climate.Active@dcceew.gov.au.