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Greenwashing

EU Parliament Approves Directive Against Greenwashing and Boosts Product Transparency

In a landmark decision, the European Parliament voted overwhelmingly (593-21) to pass a directive targeting greenwashing and promoting transparency in product claims. Pending EU Council approval, the directive is expected to be swiftly endorsed.

— Han Zuyderwijk

Black and white picture of European Union flags.
Stricter European Union rules on Greenwashing are coming.

In a landmark decision, the European Parliament voted overwhelmingly (593-21) to pass a directive targeting greenwashing and promoting transparency in product claims. Pending EU Council approval, the directive is expected to be swiftly endorsed.

Key Points:

  1. Strict Regulations on Green Claims:

  • Businesses in the EU are prohibited from making vague environmental claims without credible evidence.

  • Terms like 'eco-friendly,' 'environmentally friendly,' 'natural,' 'recycled,' and 'biodegradable' are under scrutiny.

  1. Ban on Carbon Offset Claims:

  • Businesses cannot label offerings as 'climate-neutral' or 'carbon-neutral' if relying on carbon offsetting.

  • Concerns raised about the credibility of certain carbon offsetting schemes.

  1. End to Misleading Claims:
  • Directive stops claims that blur specific achievements with a company's overall environmental impact.
  1. Implementation Timeline:

  • Changes set to take effect from early 2026.

  • Member states have a two-year window to incorporate regulations into national laws.

  1. Impact on UK and Beyond:

  • While Brexit exempts the UK, businesses selling into EU markets will feel the ripple effect.

  • Three-quarters of products in the EU carry green claims; over half are deemed vague or misleading.

  1. Product Transparency Measures:

  • Manufacturers and retailers must provide repairability information at the point of sale.

  • Prohibition on advertising used or faulty goods without clear communication to customers.

  1. Addressing Planned Obsolescence:
  • Concerns addressed but advocates hoped for stronger measures against intentional product design for shorter lifetimes.

In summary, the directive marks a significant step toward environmental responsibility, combating greenwashing, and enhancing transparency in the EU marketplace.