Greenwashing Risks Threaten Aviation Industry Cirium

The aviation industry is under increasing pressure to provide accurate environmental reporting as regulators, investors, and consumers demand transparency in sustainability efforts. Cirium, a global aviation analytics provider, warns that misleading or exaggerated environmental claims—commonly known as greenwashing—pose significant reputational, financial, and legal risks for airlines.

“Greenwashing refers to the practice in which airlines make invalid or misleading claims about their environmental efforts. This can involve exaggerating the impact of sustainability initiatives, leading consumers and stakeholders to believe the company is more environmentally responsible than it actually is,” Cirium explained.

The risks associated with greenwashing have intensified amid growing regulatory scrutiny. In 2024, the European Commission took action against 20 airlines for misleading environmental claims, highlighting potential legal and financial consequences. Cirium emphasized that greenwashing can also erode public trust and investor confidence, directly affecting a company’s credibility and access to capital.

Investors increasingly rely on Environmental, Social, and Governance (ESG) criteria to guide decisions. “Greenwashing creates uncertainty and undermines a company’s credibility, which can deter environmentally conscious investors and limit access to financing,” Cirium noted.

Traditional methods for calculating carbon emissions often rely on broad estimates and assumptions, failing to account for factors such as aircraft type, engine efficiency, and actual fuel consumption. These inaccuracies make it difficult for airlines to track progress and comply with evolving environmental regulations.

To address these challenges, Cirium advocates adopting independent monitoring systems that provide scientifically accurate and verifiable emissions data. Advanced analytics platforms, including Cirium’s EmeraldSky, analyze flight- and aircraft-specific data to measure fuel burn and CO₂ emissions with high precision.

“EmeraldSky integrates large volumes of proprietary data and advanced analytics to provide highly precise measurements of aircraft CO₂ emissions. It delivers the transparency and accuracy required to meet environmental commitments and support credible sustainability reporting,” Cirium stated.

“Addressing greenwashing in aviation is not only a regulatory challenge but also an opportunity to strengthen trust, safeguard reputation, and build a resilient pathway to net-zero,” Cirium added.