New Guidelines to Curb Greenwashing & Misleading Environmental Claims

A Tale of Greenwashing and Consumer Protection

As environmental awareness grows, so does a new challenge: Greenwashing. Companies, seeking to meet the growing demand for sustainable products, sometimes exaggerate or falsify their environmental credentials. To combat this deceptive practice and protect consumers, India’s Central Consumer Protection Authority (CCPA) has issued comprehensive guidelines to prevent and regulate greenwashing.

The Greenwashing Dilemma

Imagine a world where every product is marketed as “eco-friendly” or “sustainable,” yet many of these claims are untrue. This is the reality that greenwashing paints. Misleading environmental claims not only deceive consumers but also undermine genuine efforts towards sustainability, creating confusion and fostering distrust in the marketplace.

A Collaborative Approach

To address this growing concern, the CCPA convened a committee of experts from academia, industry, and consumer advocacy organisations, including the Advertising Standards Council of India (ASCI), FICCI, ASSOCHAM, and CII. Through extensive discussions, these stakeholders developed a set of guidelines that strike a balance between encouraging environmental responsibility and preventing deceptive practices.

Key Highlights of the Guidelines

• Clear Definitions: The guidelines provide precise definitions of environmental claims and greenwashing, ensuring clarity for businesses and consumers alike.
• Substantiation Requirement: Companies must back their environmental claims with credible scientific evidence or recognised third-party certifications.
• Prohibition of Misleading Terms: Terms like "green," "natural," or "organic" cannot be used without adequate scientific support.
• Third-Party Certification: Environmental claims can be validated with credible third-party certifications, provided they meet recognised standards.
• Adequate Disclosures: Claims must include accessible information specifying whether they refer to the product, manufacturing process, or packaging.

A Marketplace of Integrity

The CCPA’s guidelines aim to create a marketplace where consumers can trust environmental claims, and businesses are encouraged to adopt genuinely sustainable practices. By holding companies accountable for their claims, the guidelines promote fairness and transparency.

“We aim to work closely with industry bodies, consumer organisations, and regulatory authorities to ensure effective compliance,” said Nidhi Khare, Secretary of the Department of Consumer Affairs and Chief Commissioner of the CCPA. “Our goal is to create a marketplace where consumers can trust environmental claims and businesses are motivated to adopt sustainable practices.”

The Need for Action in a Rapidly Changing Market

The guidelines arrive at a time when eco-conscious marketing is on the rise, and consumers are increasingly prioritising sustainable products. However, unchecked greenwashing has led to confusion among consumers and undermined trust in sustainability claims. These new regulations harmonise the efforts of businesses, consumers, and environmental advocates, ensuring that green marketing reflects genuine environmental responsibility.

Impact and Future Outlook

India’s new greenwashing regulations mark a significant step toward a more sustainable future. They empower consumers to make informed choices and encourage businesses to adopt responsible practices. As the world grapples with the challenges of climate change, these guidelines offer a beacon of hope, reflecting a commitment to a cleaner and greener planet.

By promoting transparency and accountability, the CCPA’s guidelines pave the way for a marketplace where environmental claims are genuine and credible. They remind us that true environmental responsibility goes beyond marketing slogans and requires a commitment to ethical business practices.