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New Guidelines to Stop Greenwashing Practices in India

Greenwashing is a deceptive practice where companies make false environmental claims, undermining genuine environmental efforts and misleading consumers.

Understanding Greenwashing and Its Impact

  • Greenwashing defined as deceptive practices where companies make false environmental claims
  • Common examples include misuse of terms like "natural," "organic," or "eco-friendly"
  • Notable cases include Volkswagen emissions scandal and accusations against Shell and BP
  • Undermines genu
  • ine environmental efforts and misleads consumers
  • Growing concern due to increased public demand for sustainable products

Key Features of CCPA Guidelines

  • Comprehensive framework titled "Guidelines for Prevention and Regulation of Greenwashing, 2024"
  • Strict regulations on use of generic environmental terms
    • Terms like "sustainable," "clean," "green" require proper substantiation
    • Must include adequate qualifiers and disclosures
  • Mandatory scientific evidence requirements
    • All claims must be backed by verifiable data
    • Third-party certifications encouraged
    • QR codes or webpage links required for detailed information
  • Clear language requirements
    • Technical terms must be explained in consumer-friendly language
    • Complete disclosure of material information

Enforcement and Penalties

Violations can result in significant penalties:

    • Initial fines up to ₹50,000
    • Repeated violations may lead to ₹1 crore penalty
    • First-time advertising offenses: up to ₹10 lakh fine
    • Repeat offenders: up to ₹50 lakh fine and possible 2-year imprisonment

Consumer protection measures

    • Right to seek compensation for damages
    • Access to verifiable evidence
    • Protection against misleading claims

International Alignment

  • Guidelines similar to UK's Green Claims Code (2021)
  • Aligns with European Union's Green Claims Directive
  • Part of global effort to combat greenwashing
  • Emphasizes transparency and accountability in environmental marketing

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