Greenwashing Guidelines

Source: This post on Greenwashing Guidelines has been created based on the article “Greenwashing guidelines: How govt is tackling companies making dubious climate-friendly claims about products” published in Indian Express on 16^th October 2024.

Why in news?

The government has issued new guidelines to combat greenwashing, which refers to companies making dubious claims about their products or services being environmentally friendly.

These guidelines, released by the Central Consumer Protection Authority (CCPA) aim to ensure that environmental claims are scientifically substantiated and transparent.

About Greenwashing

1. Definition: Greenwashing involves deceptive or exaggerated claims that a product, service, or activity is environmentally friendly.

2. Scope: The guidelines apply to advertisements and cover various entities, including corporations, organizations, and even countries, that may make unverified environmental claims.

3. Notable Examples: Companies like Volkswagen, Shell, BP, and Coca-Cola have faced accusations of greenwashing for exaggerating their environmental impact or misleading the public. Practices like carbon trading and carbon offsets often fall under scrutiny for potential greenwashing, especially if they lack scientific rigor.

Key Elements of the New Guidelines

The guidelines are issued by the CCPA under the Consumer Affairs Ministry, focusing on advertisements.

Criteria for Greenwashing: Greenwashing is defined as any practice that hides or exaggerates relevant information, misuses symbols or imagery, or makes vague or unsupported environmental claims.

Terms and Claims: Terms like “clean,” “green,” “eco-friendly,” “sustainable,” and similar phrases are allowed only if substantiated with credible evidence. More specific claims, such as “biodegradable,” “recyclable,” “net-zero,” or “climate-positive,” require verifiable scientific evidence, certifications, or third-party verification.

Exceptions: Hyperboles or “puffery” in advertisements are permissible, provided they do not mislead or deceive consumers.

Requirements for Companies

1. Companies must provide adequate qualifiers and disclosures for terms like “carbon neutral” or “organic” to avoid misleading claims.

2. Technical terms such as “environmental impact assessment” or “ecological footprint” must be explained clearly to the average consumer.

3. Environmental claims need to be backed by reliable scientific evidence or certifications from credible agencies.

UPSC Syllabus: Environment