The Central Consumer Protection Authority (CCPA) has issued guidelines for Prevention and Regulation of Greenwashing and Misleading Environmental Claims to address this issue. According to Nidhi Khare, Secretary, Department of Consumer Affairs, who is also Chief Commissioner of the Authority,these guidelines seek to foster truthful practices where environmental claims are both truthful and meaningful, thus enhancing consumer trust and encouraging sustainable business practices.

The notable suggestions include specific environmental claims must be supported by disclosure about credible certification, reliable scientific evidence; Words such as sustainable, natural, organic, regenerative and similar assertions shall not be used without adequate, accurate and accessible qualifier; and Adequate disclosures on claims are essential for environmental claims such as ‘natural’;’organic’;’pure’.

CCPA ,after considerations of the suggestions, 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.These guidelines are designed not to stifle companies’ environmental efforts of manufactures and service providers but to ensure that such claims are transparentand made with integrity, CCPA said, adding companies are encouraged to highlight their environmental initiatives, provided these claims are backed with proper disclosures and credible evidence, she said here Tuesday.

CCPA also said 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, the guidelines seek to foster a marketplace where environmental claims are both truthful and meaningful, thus enhancing consumer trust and encouraging sustainable business practices.

A committee chaired by Chief Commissioner CCPA was constituted on greenwashing. Amongst the members from Academia (Professor Dr. Sushila, NLU, Delhi and Prof Ashok R. Patil, Vice Chancellor, NLU Ranchi); Practitioners (Nishith Desai Associates), Activists/Organizations (Shirish Deshpande, Mumbai Grahak Panchayat and S.Saroja, Consumer Voice) and representatives from ASCI, FICCI, Assocham, and CII formed the wide spectrum of stakeholders.