The EU GReen Claims Directive
19 March 2024
It’s official, the EU has adopted legislation to fight against greenwashing 🇪🇺
Last week the EU Green Claims Directive, aimed at addressing greenwashing and ensuring environmental claims are transparent and trustworthy, was adopted by the European Parliament
Here's your 101 on the Directive and what to do next:
THE CURRENT STATE
It can be difficult for consumers to get the information to make informed choices:
· 53% of green claims give vague, misleading or unfounded information
· 40% of claims have no supporting evidence
· Half of all green labels offer weak or non-existent verification
· There are 230 sustainability labels and 100 green energy labels with different levels of transparency
This is where the EU Green Claims Directive comes in – it’s designed to take action to address greenwashing, and protect consumers and the environment.
WHAT DOES THIS MEAN FOR BUSINESSES AND CONSUMERS?
🔍 Transparency & Credibility - The directive ensures that businesses provide accurate and reliable information about the environmental impact of their products and services.
🤝 Building Trust - By setting clear guidelines for green claims, the EU is fostering trust between businesses and consumers.
🌱 Promoting Sustainable Practices - With a focus on preventing "greenwashing" – the misleading use of environmental claims – the directive encourages businesses to adopt genuinely sustainable practices. This includes addressing greenwashing practices such as displaying a sustainability label which isn’t based on any certification or public authority.
🛍️ Empowering Consumers - Consumers will have better access to truthful and comparable information about the environmental performance of products, enabling us to make more informed choices.
WHAT TO DO NOW
If you sell goods and services in the EU you need to evidence environmental claims, communicate your claims accurately and completely, & obtain external verification. You’ll no longer be able to use terms like ‘eco-friendly’, ‘green’, ‘carbon neutral’ or ‘net zero’ without these claims being substantiated and verified.
The Directive will also introduce penalties for non-compliance to discourage misleading claims, including fines of at least 4% of turnover, confiscation of non-complaint goods, and public naming and shaming.
The Directive will come into effect in 2026 and it's important to understand what it will mean to you. Find out more here - https://environment.ec.europa.eu/topics/circular-economy/green-claims_en
#greenclaims
#greenwashing
#sustainability
#compliance
#eu