EXPERT ANALYSIS: Defining and Understanding Greenwashing

Did you know there is no universally accepted definition of “greenwashing” or “green claims”? How can companies comply with numerous sustainability regulations when there are no fundamental definitions?

In an era where sustainability is not just a buzzword but a regulatory necessity, consumers expect companies to validate their green claims. However, two contrasting practices — greenwashing and greenhushing — are making it difficult for consumers to distinguish genuine efforts from deceptive ones. Before we explore the challenges of greenwashing, it’s important to recognize that the lack of clear definitions is a fundamental issue.

In a recent academic paper titled “An Integrated Framework to Assess Greenwashing,” researchers address this lack of standardization. They define greenwashing as “the dissemination of false or deceptive information regarding an organization’s environmental strategies, goals, motivations, and actions.”

Additionally, the European Union’s Empowering Consumers for the Green Transition Directive defines green claims as any message or representation that is not mandatory under Union law or national law, that states or implies that a product or trader has a positive or no impact on the environment or is less damaging to the environment than other products or traders, respectively, or has improved their impact over time. This includes text, pictorial, graphic, or symbolic representation in any form — including labels, brand names, company names, or product names — in the context of a commercial communication.