Repsol and Iberdrola face each other in the first trial for ‘greenwashing’ in the history of Spain

As for the trial, it will take place in the city of Santander. This is because it is the registered office of Repsol Distribuidora de Electricidad y Gas, Iberdrola’s competitor. According to procedural legislation, in a lawsuit process, when the parties have different addresses, the plaintiff can choose the place of the trial in either of the two venues.

However, Repsol tried to refer the case to the courts of Madrid, because the lawsuit also involves Repsol SA, the parent company, based in the capital, although the request was denied. This Thursday the oral viewin which the experts and lawyers of both parties will face each other in court. Regarding the procedural representation of each company, Iberdrola has the advice of the consulting firm Nera and the Ontier law firmwhile Repsol has entrusted the case to the office Dentons.

According to legal sources indicated to Europa Press, the judgment of the trial could be known between end of this year and beginning of nexteither. In relation to the object of the lawsuit, it is a pioneering case, since the greenwashing It is not specifically classified in Spanish legislation, so there is no type of jurisprudence in this regard.

In any case, there is a european directive regarding consumer empowerment for the green transition. This was approved in February, and it is a list of specific rules to combat unfair business practices that lead to them, including greenwashing. However, this directive has not yet been transposed by Spain, so is not in force.

Basis of the claim

The legal basis on which Iberdrola supports its claim is the Unfair Competition Lawbased on the articles of acts of deception (art. 5), misleading omissions (art. 7) and illicit advertising (art. 18). In the lawsuit, Iberdrola accuses Repsol of promoting green initiatives even though “its multi-product offer encourages the use of fuels.” Likewise, they accuse them of “focusing on sustainability, when it constitutes a minor element of their current activities.”

The objective pursued by Iberdrola is to request that Repsol be declared guilty of carrying out acts of unfair competition. In this case, the company would be forced to cease these actsprohibit its future repetition and eliminate its effects. Furthermore, Iberdrola requests that the ruling be published in the Repsol websiteas well as in the social networks most important and on the television stations on which the illicit content was broadcast.

Although no sentence has yet been issued for greenwashing in Spain, in other countries such as the United States, the United Kingdom, Germany or Italy, measures have already been taken against companies, especially oil companies, by accusing them of this practice.

In fact, according to a study by the software company DoGoodPeople, more than 50% of companies in Europe are accused of grewashing. According to a recent report by the European Commission, 53% of companies do not comply with the environmental practices required of them, and 58% globally choose to not making public their sustainable initiatives.

Regarding Repsol’s response, the oil company defend your strategy within the framework of the energy transition “with the sole objective of offering the goods and services that society demands, at a competitive price, with the smallest possible carbon footprint and guaranteeing supply at the same time.”

In fact, the CEO of Repsol, Josu Jon Imaz, assured that Iberdrola’s lawsuit revealed the “nervousness” of the electricity company, alleging that it sought to “limit the growth” of energy in the electricity sector.