The challenge of greenwashing

As corporations around the world adopt ESG commitments publicly, there is the increasing demand from consumers, investors, regulators and the public for transparency and sustainable practices.

When entities claim that their products or services are “sustainable”, “carbon neutral” or “net-zero waste”, are their claims really substantiated? In some cases, these claims are not fully based on facts or substance.

The need for objectivity in terms of making sustainability claims, and to provide for appropriate sanctions when such information proves incorrect, is becoming ever more important, especially given the vast increase in sustainable financial products and ESG reporting.

For this reason, KPMG set out to compile a comprehensive overview on greenwashing regulation, litigation, and market trends.

Throughout this report, we explore the risks that unsubstantiated and misleading sustainability information can trigger for both corporates and governments.

With input from KPMG legal specialists in 25 jurisdictions around the world, this report also aims to illustrate the ways these jurisdictions tackle greenwashing, from specific regulatory measures to general regulations and jurisdictional greenwashing cases.

Greenwashing accusations may have relevant reputational and legal risks, and the ever-evolving landscape is only adding to the challenges of greenwashing.

In short, our new report is a must-read source of information for anyone interested in the topic.

Download the report below.