Defra to clamp down on 'greenwash' and misleading labels

The consultation on greenwash aims to update the Government’s Green Claims Guidance, first published in 2003. Working on this issue with industry last year, Defra said it found there was a lack of awareness amongst marketers that such guidance existed, and that much of the advice it gives is behind the times in terms of the environmental issues it focuses on.

Defra believes it is important to tackle this issue because, although consumers are increasingly interested in more environmentally responsible products, most still find it difficult to identify genuinely green goods. 

Research conducted by the Carbon Trust Standard this time last year came to exactly the same conclusion.

It found that, while 62 per cent of consumers claimed environmental concerns influence their purchasing decisions, 59 per cent were skeptical about businesses’ environmental claims and 44 per cent said they would like more information on what companies are doing to be environmentally friendly. A massive 70 per cent said they did not feel confident about identifying which companies are environmentally responsible.

Such confusion, Defra contends, is inhibiting the development of goods and services that are genuinely environmentally responsible. 

Defra aims to update its guidance so that it improves the quality of environmental claims by businesses, and reduces the number of claims that may be misleading – so that genuine environmental claims can be seen as more than greenwash, at the same time protecting consumers and businesses from unfair marketing.

"Clear practical guidance" on green labelling
Environment Minister Dan Norris said: “With so many products claiming to be environmentally friendly, it is difficult to tell which companies are really making big improvements. The updated Green Claims Guidance will help businesses with genuine ‘green’ credentials by providing clear practical guidance on how they should advertise. Importantly, it will protect consumers from misleading and confusing claims. 

As is the case now, compliance with the Green Claims Guidance will be purely voluntary and will not regulated or enforced by the Government.

The second consultation launched by Defra – aimed at ensuring that energy-using products meet minimum performance standards and are accurately labeled – will be enforceable.  

Civil sanctions for innacurate energy labelling
Defra is proposing to introduce civil sanctions for manufacturers and importers that fail to comply with energy efficiency standards or give inaccurate information on their energy labels. 

Defra says the civil sanctions – which could include monetary penalties to reflect the environmental damage caused – will provide a fairer, quicker and more flexible method of regulating energy using products than the current criminal sanctions allow.

Research by the Carbon Trust published last month found that consumers are increasingly looking to labelling to provide energy efficiency information – with 43 per cent saying they are actively seeking information about the carbon impact of the products they buy and 52 per cent claiming they would be more loyal to a brand if they could see at a glance they were taking steps to reduce their carbon footprint.

Environment Minister Dan Norris said the proposed new enforcement powers should increase consumers’ confidence that energy labels are accurate and allow them to make properly informed choices. “This will make it easier for people to do the right thing by the environment,” he said.

Defra consulting with wide range of interested parties
Both consultations run until June 15 2010 and Defra says it wants to hear from a wide range of interests, including individuals, communities and community groups, businesses (including small and medium-sized enterprises), non government organisations, charities, marketing bodies, enforcement bodies, advertising agencies and research organisations.

Related news:
Green sales & marketing news
Energy efficiency news
Green regulation and compliance news

Related links:
www.defra.gov.uk