Biogas project removed website after anti-greenwashing law came into effect

A biogas plant can be seen in this undated file photo. (CTV News Calgary)

The company behind a contentious biogas project near High River removed its website after Canada’s anti-greenwashing rules came into effect.

Rimrock Renewables, in partnership with Tidewater Renewables Ltd. and Korova Feeders Ltd., is proposing the development of a biodigester facility that would use manure and other waste from a 35,000 head of cattle feedlot in Foothills County to produce natural gas, a process the company has said comes with major environmental and economic benefits.

But since new truth-in-advertising amendments to the Competition Act in Bill C-59 became law on June 20, requiring businesses to provide evidence to support environmental claims, the Rimrock Renewables website has been offline.

Under the legislation, any statement about a product’s benefits for protecting the environment or mitigating the effects of climate change must have "adequate and proper substantiation in accordance with internationally recognized methodology."

If found liable, companies or individuals could be fined.

A version of the Rimrock Renewables website archived on June 16 details some of the environmental claims made of the biogas project, including reducing greenhouse gas emission, providing a sustainable waste management strategy, managing odour from the feedlot, and producing 450,000 gigajoules of renewable natural gas (RNG) per year, which the company says will reduce dependence on fossil fuels.

A spokesperson for Rimrock Renewables said the company is not providing any interviews and wont comment due to the current regulatory state of the project.

The provisions in Bill C-59 that specifically target misleading environmental benefits claims prompted several organizations, mostly in Canada’s oil and gas sector, to similarly remove online content related to the environmental impact of their products. Critics of the anti-greenwashing rules say there is too much uncertainty around how the law will be interpreted and applied.

The Canadian Cattle Association said in a statement it is still seeking more details about the reach of the bill for agriculture and food industries and "has requested that the enforcement of the new provisions be delayed until the impact to the Canadian beef industry is better known."

Emilia Belliveau, program manager for Energy Transition with Environmental Defence, said it isn’t surprising that industry associations and fossil fuel companies have opposed the new law, but said the use of greenwashing is pervasive and not limited to any one sector.

A 2022 survey of executives from global companies from The Harris Poll found 72 per cent of respondents from North American companies admitted to overstating their sustainability goals and engaged in greenwashing.

"This is a major problem, and while there are challenges with regulating industry around its advertising claims, particularly as a lot of those claims are vague or use feel-good branding to create an impression, what we need in order to have a an honest and good conversation about Canada's energy future and addressing climate change, is for that conversation to be grounded in evidence and in fact and in the climate science," Belliveau said.

The livestock industry is responsible for about five per cent of greenhouse gas emissions in Canada, and more producers are looking to biogas projects to help meet emission targets.

The Canadian Biogas Association estimates the number of biogas projects will quadruple in the years ahead and has identified agriculture as the sector with the strong potential for growth.

The fossil fuel industry has also taken increased interest in biogas, promoting it as a greener alternative to conventional sources. In 2022, Rimrock Renewables announced a 20-year agreement to sell up to 525,000 gigajoules of renewable natural gas to the British Columbia natural gas utility FortisBC.

Belliveau said while it is encouraging to see efforts to reduce emissions wherever possible, "what we've seen so far from industry is that companies are using biogas or renewable natural gas in very small percentages, blending it into their overall fuel supply, and then making these exaggerated claims about it being green or sustainable.

"The main concern here is that when the fossil fuel industry promotes natural gas as a climate solution, or greener than alternatives, it’s really keeping people reliant on an industry where the vast majority of natural gas comes from fracking, which is extremely emissions intensive, water polluting and leads to a lot of methane leaks," she said.

Earlier this year, the Stand Environmental Society filed a lawsuit against FortisBC, accusing the company of "greenwashing" and "obstructing efforts to reduce emissions."

The suit alleges the company’s advertisements make misleading claims by emphasizing its renewable natural gas supply, though 90 per cent of the gas it delivers is produced through fracking.

The claims have not yet been proven in court, and FortisBC has said it disagrees with the allegations.