Managing greenwashing risk

How to approach sustainability claims in the EU and their enforcement in the Netherlands

Published on 10th Mar 2025

As regulators continue to monitor greenwashing , a set of principles for making sustainability claims offers guidance

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In the Netherlands, regulators have been focusing on sustainability claims that are misleading or "greenwashing". The Netherlands Authority for Consumers and Markets (ACM) is competent, among other regulators, to supervise sustainability claims.

In the food sector, it was uncertain whether the ACM or the Netherlands Food and Consumer Product Safety Authority was responsible for monitoring sustainability claims for a long time. From the annual plan for 2025 of the ACM, it is now all clear: the ACM will take the leading role.

Apart from this sector focus, the ACM will (of course) continue to promote the use of honest and clear sustainability claims. The ACM will also keep enforcing in other sectors. Previously the ACM focused on sectors such as energy, clothing and transport, including on sustainable delivery and sustainable travel.

Businesses in the retail and food sector need to be aware that claims cannot be misleading, and must be, amongst others, clear and accurate.

Sustainability claims: a recap

What is a "sustainability claim"? A sustainability claim is a very broad term. In general, it is any message or representation, including text, pictorial, graphic or symbolic representation, which suggests an improved environmental and/or social impact or performance of a product, service, brand, or business. 

If a claim complies with the four principles, are you free to make the claim? No. Even if a claim adheres to these principles, its legality depends on the actual context. Whether a claim is considered to be misleading, depends on a case-by-case assessment.

What happens if you make a claim that is considered incorrect, incomplete or otherwise misleading? If a claim is considered misleading, national authorities can impose enforcement measures. These measures include imposing fines or require you to correct or retract the claim (potentially banning a marketing campaign or recall products). Moreover, misleading claims can lead to consumer dissatisfaction and damage your brand reputation. 

Can these principles be used for sustainability claims all over the world? The purpose of these principles is to mitigate legal risks for sustainability claims addressed to European consumers. Always make sure to check for each local jurisdiction if there are any additional requirements that deviate from these principles. 

Previously, the ACM published guidelines regarding sustainability claims. Are the principles below any different? It is true that the ACM published extensive guidelines in 2023. The principles below provide for a concise understanding of the rules on sustainability claims across the European Union, with practical examples for the retail and food sector.

Legal framework

The EU provides a legal framework on sustainability claims through various pieces of legislation. This legal framework is constantly developing. For example, by 27 March 2026, all member states of the EU are required to comply with the Empowering Consumers Directive. In addition, the EU proposed the so-called Green Claims Directive to address further issues around greenwashing. It is expected that national regulators will already now consider these pieces of legislation in case of a potential misleading practice.

The EU has provided a "blacklist" of commercial practices that must be considered as unfair in all circumstances. The list will be implemented in national laws of member states. Examples of such blacklisted practices are listed below:

  • Displaying a sustainability label – such as the Forest Stewardship Council label and the Fairtrade label – that is not based on a third-party certification or that is not established by a public authority;
  • Making a generic environmental claim, which being unable to sufficiently demonstrate this performance;
  • Making an environmental claim about an entire product or entire business when the claim in fact only concerns a certain aspect of the product or a specific activity within the business; and
  • Presenting requirements on a product as a distinctive feature, while these requirements are imposed by law.

Member states may have additional "soft" laws on sustainability claims. In the Netherlands, for example, the ACM has released extensive guidelines on this matter and a code for sustainability advertising has been published by the Dutch Advertising Code Committee.

Osborne Clarke comment

Businesses, and particularly in the retail and food sectors, can follow a set of useful general principles for making sustainability claims. These principles can guide and help contribute to a confident approach to sustainability efforts while mitigating legal risks.

Please consult our tables on general principles for making sustainability claims for more information on these steps, practical examples and dos and don'ts.

General principles for making sustainability claims

1  Claims must be clear and accurate

✔️ Do use accurate and factual information and make sure consumers can understand and verify your claim. Also evaluate the actual impact of a product throughout its entire lifecycle, via a life cycle assessment, and explain this to the consumer. 

Do not use vague terms (such as "sustainable"), absolute terms (such as ("100%") or exaggerations (such as "save the planet").

Practical example: retail sectorPractical example: food sector
❌ “Help others shop green.”❌ “Our food products are eco-friendly.”
✔️ “Buying a product on our platform saves approximately 2,700 litres of water. This is the amount typically used to produce such new product.”✔️ “Our organic apples are grown without synthetic pesticides and fertilisers, reducing environmental impact by 30% compared to conventional farming.”

Generic terms such as "green", "conscious" and "eco-friendly" are not allowed in any instance. A more clear and accurate claim can be allowed with an underlying life cycle assessment.

2  Claims must be supported by (transparent) evidence

✔️ Do clearly communicate the methodology, assumptions, and scope behind any sustainability claim. For digital claims, especially outside your platform, also provide detailed information of the claim.

Do not use mere assumptions. Please note that you may even have to demonstrate so-called "recognised excellent environmental performance".

Practical example: retail sectorPractical example: food sector
❌ “We believe our net impact is positive, rather than negative."❌ “We use more sustainable materials."
✔️ “We found that our platform helps reduce environmental impact by extending the lifetime of fashion items by [X]%. Learn more at www.[X].com.”✔️ “Our packaging is made from 100% recycled materials, reducing waste by 50%. Learn more at www.[X].com.”

These claims would only be allowed if you specify the relevant amounts, and if you have verifiable data to justify this claim and if you provide consumers access to the underlying methodology and data. If you provide a hyperlink or QR-code, it must be sufficiently clear that that is used to justify the claim. However, in the linked webpage, do make sure to provide a clear explanation on how the extension was calculated over the full lifecycle, with underlying data.

3  Comparable claims should be fair

✔️ Do clearly quantify and verify a comparable sustainability claim. Such verification should be done by providing a side-by-side comparison.

Do not compare apples and oranges. 

Practical example: retail sectorPractical example: food sector
❌ “Unlike us, the fashion industry is responsible for a significant amount of global pollution.”❌ “Our plant-based burgers are the most sustainable.”
✔️ “When shopping with us, you help reduce waste by [X]% and extend the lifecycle of clothing by [X]%, contributing to more sustainable consumption.”✔️ “Our plant-based burgers produce 60% less CO2 emissions compared to traditional beef burgers, contributing to a lower carbon footprint.”

This type of claim could only be allowed if you specify an actual comparison, such as a second-hand item on your platform versus a newly manufactured equivalent (using the same types of materials and production processes), backed by specific data of the two items compared. However, make sure to clearly articulate how wordings such as "sustainable consumption", "CO2 emissions" and "carbon footprint" are defined, explained and measured compared to the traditional industry. 

4  Be relevant and up to date

✔️ Do ensure your claim is relevant and the data behind your claim is up to date. Also regularly review previous sustainability claims and (updated) legal requirements to ensure your claims remain accurate and allowed over time.

Do not use outdated information.

Practical example: retail sectorPractical example: food sector
❌ “Our company saves X% CO2 as we use energy-efficient lighting in our offices.”❌ “Our company saves X% water by using low-flow faucets in our office bathrooms.”
✔️ “Our switch to renewable energy sources in our production facilities has reduced our carbon footprint by 40% over the past year.”✔️ “In 2024, we transitioned to using biodegradable materials for our product packaging, reducing plastic waste by 60%.”

Claims that do not relate to the core environmental impact of your company may be irrelevant. Instead, make sure to make relevant claims. 

 

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* This article is current as of the date of its publication and does not necessarily reflect the present state of the law or relevant regulation.

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