Validating green claims: transparency for EU firms

The European Commission took a crucial step on February 14, 2024, by outlining the validation process for environmental marketing claims in response to the growing issue of greenwashing. As an addition to the existing EU ban on misleading environmental claims, the proposed directive establishes clear rules for companies looking to substantiate their green assertions.

According to the proposed directive, companies must seek approval for future environmental marketing claims before making them public. Qualified verifiers will assess these claims within a 30-day period. Violations can result in hefty penalties, including fines of up to 4% of annual turnover and exclusion from tenders.

Carbon Offsetting and Comparative Claims

The directive reaffirms the EU ban on green claims solely based on carbon offsetting schemes. However, companies can still mention these schemes if they have already made maximum efforts for emission reduction and use compensation for remaining emissions, utilizing certified carbon credits under the Carbon Removal Certification Framework.

Special provisions apply to comparative claims, especially those comparing goods from the same producer. Companies must demonstrate that they have used identical methods to compare relevant product aspects. Claims of product improvement must not be based on data older than five years.

Next Steps

The draft report, adopted by an overwhelming majority, awaits a vote during an upcoming plenary session. Once ratified, it will establish the Parliament's position, with further deliberations expected after the European elections in June.

Europarl.europa.eu

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