ITALY’S competition watchdog has jointly fined three companies in the General Logistics Systems Group €8m for unfair commercial practice in a green scheme.

The Italian Competition Authority (AGCM) found GLS’ Climate Protect initiative, which boosted the well-known parcel services firm’s green image, was organised, funded and promoted in a non-transparent manner and “lacked the rigour and diligence demanded from highly polluting sectors such as logistics, transport and parcel delivery”.

GLS’ environmental statements were found to be ambiguous and/or not specifically clear, specific, accurate, clear-cut and verifiable.

Subscribers to the GLS Enterprise services were forced to join the Climate Protect programme and forced to pay for an unwanted carbon offset certificate for their deliveries.

“The amount of this contribution was determined without verifying the costs actually incurred by them for the programme,” AGCM said.

“While top clients were exempted from paying the contribution, all other customers were led to believe that the GLS companies themselves would be contributing significantly to the programme’s funding.”

Subscribed customers and GLS Italy’s logistics partners were made to bear all the costs connected to the programme.

The GLS companies cashed in more than they paid to implement it.

“Moreover, their communications to subscribed customers and partner companies, as well as the carbon offset certificates issued to customers and enterprises for their deliveries were found to be misleading, ambiguous and/or false,” AGCM said.

The conduct amounted to unfair commercial practice under Italy’s Consumer Code.

AGCM would not say whether the case opened GLS up to litigation from counterparties.

GLS said: “We take these matters very seriously and are reviewing the decision in detail to determine the appropriate next steps.

“The GLS Climate Protect programme is an important part of our environmental and social responsibility work.”

GLS is headquartered in Amsterdam and works in 40 countries, with revenue of €5.6bn in its fiscal year for 2023-2024.