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NW Natural, Oregon’s largest natural gas utility, faces a lawsuit for allegedly misleading customers about its plans to reduce greenhouse gas emissions.

In October 2024, Multnomah County added claims worth $50 billion to the lawsuit against NW Natural.

The legal team contends that NW Natural spread  misinformation about the perils of gas, creating confusion among  consumers.

In 2016, NW Natural promised to reduce carbon emissions by 30 percent from 2015 levels by 2025 through four following strategies.

First, NW Natural committed to reducing energy usage by promoting policies emphasizing energy efficiency.

Second, the company collected periodic fees from customers, ranging from 15 cents to $15.

The company asserted these fees would be used to purchase  carbon offsets and develop Renewable Natural Gas (RNG), which they advertised as substantially reducing emissions.

Third, the company pledged to reduce the carbon intensity in its supply chain.

NW Natural stated that they help educate people about reducing their carbon footprint and do not profit from the Smart Energy program.

Finally, the company promised to replace conventional natural gases with RNG for sustainability.

Those efforts, dubbed “Less We Can,” have been promoted  since 2016.

However, these policies have allegedly revealed themselves as examples of greenwashing directed at customers.

The company strongly claimed they would reduce  participants’ carbon footprints, but reportedly did not genuinely implement the promised offsets.

Instead, they funded methane digesters, which critics say are not an effective solution for mitigating emissions.

This action appears to violate Oregon’s law regarding unfair and deceptive marketing.

Furthermore, the company misled the participants by overemphasizing the overall usage of RNG.

NW Natural previously advertised the potential of RNG in capturing methane and promised to use RNG as a major green initiative.

By 2024, the company promised to offset emissions by 5 percent.

In reality, the company has only offset emissions by 1 percent, which demonstrates that NW Natural still relies heavily on conventional natural gas.

David Sugarman, the lawyer representing the accusation, described the program as a “classic greenwashing” case.

Multiple experts and organizations, including the Oregon Department of Environmental Quality (DEQ), have raised concerns about whether NW Natural actually reduces the carbon footprint of the company and individuals.

Due to the alleged greenwashing by Oregon’s largest natural utility, the importance of preventing such practices is being underscored.

Although it is best for companies not to greenwash their products, preventing greenwashing requires careful attention from both the government and consumers.

For the government, regulation to combat greenwashing—by mandating labeling and examination—could help prevent such practices.

As for consumers, they should demand transparency from eco-friendly companies and remain alert to misleading statements.

The outcome of the accusation is pending, and the result of this trial remains uncertain.