Standard Bank has been criticized and received nine allegations of greenwashing and misleading advertising because, it is claimed, the bank made unsubstantiated and factually distorted statements regarding its climate goals.
Climate activists filed a complaint with the Advertising Regulatory Board (ARB) against Standard Bank. The complaint concerns violations of the Code of Advertising Practice regarding honesty, substantiation, and environmental claims.
Standard Bank's Response to the ARB Complaint
The accusations relate to the bank's public communications, specifically the Standard Bank Group Report to Society 2025, the Climate Related Financial Disclosures Report 2025, and various investment advertisements on the corporate website. Proponents of the complaint argue that these materials constitute advertising aimed at shaping public opinion and promoting services.
It is alleged that the bank systematically and deceptively presents itself as an industry leader in sustainable development by using unfounded claims about its commitment to achieving net-zero financed emissions by 2050, expanding renewable energy financing, and reducing credit risk related to fossil fuels and thermal coal.
The complaint was filed by human rights lawyers on behalf of the coalition Fossil Free South Africa (FFSA) and StopEACOP on Wednesday. Gail Shimmel, Executive Director of the ARB, confirmed receipt of the complaint and stated that the regulatory body will conduct an assessment to determine its validity.
Ross Lindstrom, a representative for Standard Bank, stated that the bank is aware of the reports concerning the ARB complaint and emphasized that the lender takes any such claims seriously. Lindstrom added that despite a firm commitment to supporting Africa's transition to a low-carbon economy and meeting stated sustainability goals, he does not believe that supporting renewable energy and sustainable finance is incompatible with responsibly supporting Africa's broader needs for energy and economic development within the Just Transition.
Lindstrom noted: 'Our approach recognizes that Africa's decarbonization path must be inclusive, balanced, and account for the realities of the continent's development needs. We are one of the leading financiers of renewable energy and sustainable infrastructure in Africa and continue to increase support for projects that contribute to the continent's transition to a more sustainable future.' He also clarified that 'all financing decisions are subject to rigorous governance processes and comprehensive environmental, social, and governance assessments. When assessing projects, we apply recognized international frameworks and standards and consider a range of factors, including environmental impact, social aspects, human rights, governance requirements, and economic development goals. Our approach is further guided by our publicly available Climate Policy.'
Activists Link Greenwashing Claims to EACOP
Activists argued that Standard Bank's environmental claims are misleading and untrue due to its operational financing of the East African Crude Oil Pipeline (EACOP). This project is a massive cross-border hot pipeline spanning 1,443 kilometers, running from Uganda to Tanzania, which will compel both governments to engage in heavy oil extraction for nearly three decades to recoup capital costs.
It is projected that at peak production, the project will emit up to 34 million tonnes of carbon dioxide equivalent (CO2e) annually, totaling 379 million tonnes over its 25-year lifespan. Furthermore, the pipeline route passes through vital freshwater systems, 158 Ugandan wetlands, eleven rivers, and 44 protected ecological zones.
The complaint pointed out that by using images of clean energy and hyperbole while simultaneously financing a major fossil fuel project, the bank allegedly violates the ARB Code, which strictly requires that environmental marketing be truthful, fully substantiated, and transparent, without concealing critical contradictions.
It was also asserted that the bank violated numerous provisions of Section II of the ARB Code, which mandates that advertising be prepared honestly and responsibly, without exploiting consumer trust. The complaint further alleged that Standard Bank breached Appendix G of the ARB Code, which establishes a Special Standard for Environmental Claims, requiring all direct or indirect environmental representations, including corporate goals, declarations, and visuals, to be accurate, highly specific, properly qualified, and entirely free of vague or incomplete commentary.
Activists added that the bank's advertising also violated appendix rules because its statements and imagery contain direct and indirect environmental claims about its financial services that are vague, exaggerated, incomplete, or unqualified. They stated that the advertising could mislead consumers and abuse public trust by failing to provide justification, omitting key details of the bank's involvement in oil, gas, and infrastructure development, and presenting ambitious goals without realistic plans. Activists concluded that the complaint aims to force Standard Bank to confirm or withdraw its climate statements, provide evidence of its response regarding EACOP, and face penalties for violating the Code. They stressed that the bank's environmental advertising constitutes greenwashing because it exaggerates its leadership in sustainable finance while concealing significant facts about its current fossil fuel financing, thereby creating a misleading impression that violates advertising codes.
