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Article

1 Feb 2022

Author:
Steffan Labbé, BIV (Canada)

Global report finds that 40% of companies make misleading environmental claims

"40% of companies make misleading environmental claims, finds global report", 27 Jan 2022

The global review, led by the International Consumer Protection and Enforcement Network (ICPEN), found that of the 500 websites it surveyed, 40% “appeared to be using tactics that could be considered misleading and therefore potentially break consumer law.”

Claims included “vague and unclear language” like ‘eco’ or ‘sustainable', as well as describing products as ‘natural’ without any explanation of what that means.

Some websites were found brandishing their own logos affirming a green record, despite not having any connections to accredited organizations. In other cases, companies hid or omitted information that would point to a product’s carbon footprint in order to make it look more eco-friendly.

In response to the report, Canada’s Competition Bureau warned Canadians to be on the lookout for fraudulent environmental claims.

In one victory against greenwashing earlier this month, Keurig Canada reached an agreement with the Competition Bureau to pay a $3 million penalty after it made false and misleading environmental claims.

The case centred around the coffee company telling consumers — through social media, its website and directly on product packaging — that its single-use K-cup pods were recyclable. The Bureau found B.C. and Quebec were the only provinces where municipal recycling programs widely accepted the coffee pods.

Keurig Canada was also found to have made false or misleading claims by giving consumers the impression they could recycle the pods by peeling off the lid and dumping out the grounds.

In addition to the $3-million penalty, Keurig Canada was forced to pay for the cost of the Bureau’s $85,000 investigation and donate $800,000 to a Canadian environmental charity.

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