Carbon Credits: Apple Accused of False Carbon Neutral Claims

Apple has been sued by consumers who say its claims that some Apple Watch models are carbon neutral and environmentally friendly are misleading. 

The complaint was filed in San Jose, California federal court on 26 February 2025 and says that seven purchasers of Apple Watch Series 9, SE and Ultra 2 would not have purchased or would have paid less if they knew the truth.

The plaintiffs say that two carbon offsetting projects in Kenya and China that Apple relied on to meet emissions targets did not provide “genuine” carbon reductions. 

The Chyulu Hills Project in Kenya

The Chyulu Hills Project in Kenya is run by Conservation International and its partners, who have implemented a forest carbon project under the REDD+ initiative, a mechanism developed by the United Nations that provides economic incentives to protect forests. 

The Chyulu Hills are home to the Maasi and Kamba communities, alongside Kenya’s largest population of African elephants and the critically endangered black rhino. 

Conservation International says that local communities have full decision-making power over how the project’s carbon revenues are spent. 

Samson Parashina, Maasai leader and Chairman of Chyulu Hills Conservation Trust, said: “The Maasai communities strongly support this project and it is an important opportunity to further clearly demonstrate building our local economy based on protecting the natural environment, living sustainably and maintaining our cultural link to the land while promising a better future for generations to come.”

Revenues from carbon credits sold from this project are invested in communities as an incentive to restore their forests and stop deforestation, and the project is expected to prevent at least 18 million tonnes of carbon from entering the atmosphere, Conservation International says. 

Impacts from the project include establishing 930 beehives, providing scholarships for nearly 4,000 children and distributing more than 600 period kits. 

The Guinan Project in China

The Guinan Afforestation Project in China covers 46,000 hectares with the aim of increasing local sustainable development and carbon sequestration through planting trees on barren lands. 

The crediting period runs from 2015 to 2045.

A 2020 report on the project for Shanghai Libra Investment & Management Co., Ltd says that the project is planting native trees – China fir, Masson pine and Pinus yunnanensis. 

It says that the project not only sequesters carbon through biomass growth but also provides native habitat for numerous species and employment for local workers. 

Verification for this project, according to the report, is conducted using TÜV NORD CERT GmbH procedures.

“TÜV NORD is able to certify that the GHG removals by sink from the project during the monitoring period 1 January 2016 to 31 December 2019 amount to 848,109 tCO₂e,” it says.

The lawsuit against Apple

Plaintiffs in the lawsuit are seven purchasers from California, Florida and Washington, D.C. 

They allege that the Chyulu Hills Project and Guinan Project did not provide “genuine” carbon reductions. 

Much of the land in the Chyulu Hills Project lies within a national park that has been protected from deforestation since 1983, and land for the Guinan Project was heavily covered with trees before it began in 2015, they said. 

"In both cases, the carbon reductions would have occurred regardless of Apple's involvement or the projects' existence," the complaint said. 

“Apple charges and maintains premium prices for its smartwatch products. Apple’s ability to maintain these premium prices depends heavily on brand differentiation and perceived product superiority, including claims of environmental leadership”

In a statement to Reuters on 27 February 2025, Apple did not discuss the case but said: “We've drastically cut emissions for Apple Watch by over 75%, and we are investing significantly in nature-based projects to remove hundreds of thousands of metric tons of carbon from the air.

“We detail our work prominently and transparently for our users."

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