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Consumer NZ Inc v Z Energy Ltd - judgment

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Consumer NZ Inc v Z Energy Ltd - settlement agreement

Filing Year For Action

In November 2023, three NGOs - Consumer NZ, The Environmental Law Initiative, and Lawyers for Climate Action NZ Inc - filed a complaint against Z Energy Ltd, a petroleum retailer in New Zealand. This is Aotearoa New Zealand’s first climate “greenwashing” case

In 2022, Z Energy began an advertising campaign referred to as “Moving with the Times”. The Plaintiffs allege that aspects of the advertising campaign amount to misleading or deceptive conduct in breach of section 9 of the Fair Trading Act 1986. 

The complaint details claims that Z Energy has made, which the Plaintiffs claim give the impression that Z Energy is taking action to significantly reduce its greenhouse gas emissions. These claims include that Z Energy is (1) reducing its emissions, (2) getting out of the petrol business, (3) has built a biofuel plant, and (4) is rapidly expanding its electric vehicle (EV) charging network. The plaintiffs argue that these statements do not align with Z Energy’s policies and actions, and accordingly, they say that Z Energy has breached section 9, which prohibits “misleading and deceptive conduct”.

The defendant filed an application that the Plaintiffs further particularise their claim. On 23 July 2024, the High Court determined that some aspects of the claim could be further particularised. 

On 2 November 2025, it was announced that a settlement had been reached between the plaintiffs and Z Energy. While Z Energy did not admit liability, it apologised for any confusion caused by parts of its campaign and to any customers who thought Z was going to stop selling petrol any time soon. When Z Energy made the statement in 2022 that “We’re in the business of getting out of the petrol business”, it did not intend to convey that it was stopping selling petrol any time soon. The NGOs and Z Energy collectively called for bipartisan policies and strategies to ensure New Zealand’s emissions-reduction targets are met, with Z emphasising the need for the government to create supportive policy frameworks and regulations that encourage the adoption of alternative energy solutions. 

Consumer NZ Inc v Z Energy Ltd

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An aim to achieve a quantifiable outcome within a given time-frame, set by an institution such as a national government.

Policy instruments are techniques or tools used by governing authorities to promote certain policies in order to achieve predetermined goals. Put simply, instruments are how a government tries to achieve its goals, with this taxonomy being focused on national policy instruments.

Risk is the potential for adverse consequences resulting from the dynamic interplay between (climate-related) hazards, exposure, and vulnerability of affected human or ecological systems.

Groups  of people who are adversely affected by climate change or the response to it

A set of principles, processes, and practices that build economic and political power to shift from an extractive economy to a regenerative economy.

Renewable energy means all forms of energy produced from renewable sources in a sustainable manner.

Fossil fuel is a generic term for non-renewable energy sources such as coal, fossil gas, and oil (including crude oil, and petroleum products), that can be used for electricity and heat generation. Fossil fuels are hydrocarbons formed from pressurised and heated organic material buried over millions of years.

Molecules in the atmosphere that play a key role in the greenhouse effect by trapping heat radiating from Earth’s surface.

Area of the economy in which actors engage in identical or related activities.

In human systems, the process of adjustment to actual or expected climate change and its effects, in order to moderate harm, increase resilience or exploit beneficial opportunities. In natural systems, the process of adjustment to actual climate change and its effects; human intervention may facilitate adjustment to expected climate change and its effects.

The management and allocation of funds, assets and investments to meet various objectives

This sector creates and distributes information and entertainment through television, radio, print, and digital platforms.

Oil is a combustible liquid fossil fuel composed mainly of hydrocarbons, occurring as crude oil and refined into petroleum products such as petrol, diesel and kerosene.

Either money or something of monetary value is transferred between two or more organisations, people or countries.

Activities that involve planning, designing and building infrastructure, residential, and commercial structures.

Energy derived from biological compounds that are renewable due to their short life cycle within the carbon dioxide cycle.

Activities of businesses and institutions that provide financial services and products to individuals and organisations.

The activities of industries that transforms raw materials into finished goods through industrial processes.

Consumer NZ Inc v Z Energy Ltd - judgment

Renewable energy

Fossil fuel

Economic sector

Finance