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Submitted By 1lakeland
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Reginald M. Goosby
BUS 221
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“Greenwashing” is the act of misleading the public regarding the environmental practices of a company or the environmental benefits of a product, service, or business line. Due to the public’s increased awareness of environmental issues, including global warming, deforestation, and the loss of endangered species, “greenwashing” has become a staple of corporations marketing efforts. A majority of America’s largest companies have become part of the “green” movement. The irony of the “green” movement of US companies is that many of the firms that spend the most money and public relations effort trying to show the government, the public, and their shareholders that they are trying to improve the environment are also among the most prolific polluters in the country. Pollution does not mean that the companies are doing anything illegal. Instead, it simply refers to natural consequence of the companies’ industrial efforts which result in contamination to the air, soil or water by the discharge of substances that are toxic to the environment (McIntyre 2006).
American Natural Gas Alliance (ANGA) is “greenwashing” the public with its advertising concerning the drilling for natural gas. American Natural Gas Alliance is a trade organization that represents 30 American natural gas drilling and refining companies. These natural gas companies are experiencing a drilling boom with more than a million natural gas wells being drilled across Pennsylvania, Ohio, and other states powered by a new technology called “fracking” (Gang. 2012). “Fracking” is a means of natural gas extraction employed in deep natural gas well drilling. Once a well is drilled, millions of gallons of water, sand and proprietary chemicals are injected, under high pressure, into a well. The pressure fractures the shale and props open fissures that enable natural gas to flow more freely out of the well. ANGA spend tens of millions of dollars each year on “greenwashing” the public about the safe and “green” effects of “fracking” (Miranda 2012). For example, the video called Dig Deeper made by the ANGA is a “greenwashing” environmental marketing claim. In this video, there are a few “greenwashing” moments about the process of “fracking.” First, the narrator states that multiple layers of cement prevent contamination of the fresh water aquifer from the “fracking” process. He goes on to say that casing the well with multiple layers of cement is a very important process because it permanently secures the well and prevents toxic fluids from seeping out of the formation when the gas is brought up to the surface. This statement is misleading. There are many documented cases that indicate the cement barrier do not prevent contamination of the fresh waster aquifer. One documented case is in Pavillion, Wyoming. A retest of the water in Pavillion, Wyoming found evidence of many of the same gases and compounds the Environmental Protection Agency used to link contamination from “fracking” (Drajem 2012). Second, the video fails to mention the toxic slurry that comes back up due to pumping in vast quantities of water, sand and other chemical additives, under enough pressure to fracture rock and release the gas trapped inside. The toxic slurry that comes back up has the potential to cause cancer, damage the nervous system, and disrupt hormones. and mutate genes. Finally, the video fails to show a picture of the water aquifer when showing an animation of gas moving up the casing to the surface. This deceptive practice could imply that the fresh water aquifer is not in any risk when the gas moves up the casing to the surface.
ANGA’s Dig Deeper video does not meet the requirements of the new FTC guidelines on environmental marketing. The FTC Act prohibits deceptive act and practices when marketing environmental claims. It states that a representation, omission, or practice is deceptive if it is likely to mislead consumers acting reasonably under the circumstances and is material to consumers’ decisions. ANGA’s Dig Deeper video is misleading because it gives the perception that the “fracking” process poses no danger to fresh water. The video also omits information about the toxic slurry that comes from “fracking.” Therefore, ANGA is engaging in marketing claims that are unfair or deceptive in its Dig Deeper video. To bring ANGA’S video in compliance with FTC guidelines, I would suggest the company change how it speaks about the cement casing. Instead of the narrator saying that multiple layers of cement prevent contamination of the fresh water aquifer from the “fracking” process. I would suggest the company substitute the words “the cement prevents contamination of the fresh water aquifer” with the words “reduces the risk of contaminating the fresh water aquifer.” The company should also talk about the slurry that is formed from the “fracking” process and show a picture of the water aquifer when talking about the gas moving up through the casing to the surface. If the ANGA make these recommendations, the company would be in compliance with the FTS guidelines on environmental marketing claims.

References:

* Drajem, Mark, 2012. Diesel in Water Near Fracking Confirms EPA Tests Wyoming Disputes, retrieved from http://www.bloomberg.com/news/2012-09-26/diesel-compounds-found-in-water-near-wyoming-fracking-site-2-.html

* Gang, Jeff, 2012. Don’t be fooled, retrieved from http://thegreenlifeblog.files.wordpress.com/2012/04/dbf-report.pdf

* McIntyre, Douglas, 2006. The “Green” Hypocrisy: America’s Corporate Environment Champions Pollute the World, retrieved from http://247wallst.com/2009/04/02/the-%E2%80%9Cgreen%E2%80%9D-hypocrisy-america%E2%80%99s-corporate-environment-champions-pollute-the-world/

* Miranda, Spencer, 2012. Natural Gas and the News, retrieved from http://fair.org/?page=44

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