changeadminTo regulate matters relating to misleading advertisements which are prejudicial to the interest of the public and consumers, the Central Consumer Protection Authority (CCPA) has issued guidelines for the Prevention and Regulation of Greenwashing and Misleading Environmental Claims.
Central Consumer Protection Authority (CCPA) is a regulatory authority that works under the aegis of India’s Ministry of Consumer Affairs, Food & Public Distribution.
These greenwashing guidelines seek to foster truthful practices where environmental claims are both truthful and meaningful, thus enhancing consumer trust and encouraging sustainable business practices.
A committee that included members of CCPA, academia, environmental activists and representatives from ASCI, FICCI, Assocham, and CII was formed to consider measures against greenwashing.
Earlier this year, public suggestions were sought, among other things recommendations included that adequate disclosures on claims are essential for environmental claims such as ‘natural’; ‘organic’; and ‘pure’. Additionally, words such as sustainable, natural, organic, regenerative and similar assertions shall not be used without adequate, accurate and accessible qualifiers.
The Central Consumer Protection Authority (CCPA) after considering all the suggestions has unveiled the guidelines titled “Guidelines for Prevention and Regulation of Greenwashing or Misleading Environmental Claims, 2024” to prevent greenwashing and misleading environmental claims, ensuring transparency and accuracy in advertisements related to environmental sustainability.
The guidelines are drafted in the wake of the rapid increase in advertisements of green (environmentally friendly) products and the growing number of environmentally aware consumers.
Greenwashing is a term that plays on the word ‘whitewashing’ and refers to the marketing tactic where companies falsely claim or exaggerate the environmental benefits of their products or services, often using vague or unsubstantiated terms such as “natural,” “eco-friendly,” or “green.”
Therefore, by creating an illusion of environmental responsibility, many unscrupulous companies end up exploiting consumers’ growing environmental sensitivity.
This deceptive practice not only misleads well-intentioned consumers but also diverts attention from broader environmental efforts. These guidelines are progressive regulations intended to harmonise the proactive efforts of manufacturers and service providers to address environmental issues and rising consumer interest in environmentally positive goods and services.
These guidelines are designed not to stifle companies’ environmental efforts of manufacturers and service providers but to ensure that such claims are transparent and made with integrity.
Companies are encouraged to highlight their environmental initiatives, provided these claims are backed with proper disclosures and credible evidence. The primary goal of these guidelines is to shield consumers from misleading information while promoting genuine environmental responsibility within the business community.
By mandating that companies substantiate their environmental assertions, India’s greenwashing guidelines seek to foster a marketplace where environmental claims are truthful and meaningful. This is critical to enhance consumer trust and encourage sustainable business practices.
Key Features of the India’s Greenwashing Guidelines:
Clear Definitions: The guidelines provide clear definitions of terms related to greenwashing and environmental claims, ensuring that both businesses and consumers have a common understanding.
Transparency Requirements: Manufacturers and service providers are required to substantiate their environmental claims with credible evidence. This includes providing detailed information on the methodology and data used to support such claims.
Prohibition of Misleading Terms: The use of vague or misleading terms such as “eco-friendly,” “green,” and “sustainable” without proper substantiation is sought to be prohibited.
Third-Party Certifications: Third-Party Certifications are also accepted in substantiation of environmental claims.
Adequate Disclosures: The companies are required to provide clear and accessible disclosures of material information. Claims must specify the aspect referred to (good, manufacturing process, packaging, etc.) and be supported by credible certification or reliable scientific evidence.
The article is based on the press release by Ministry of Consumer Affairs, Food & Public Distribution
Add comment