Green Claims under the microscope: from enforcement to strategic advantage

Companies are increasingly being held accountable for vague, insufficiently substantiated, or misleading claims under existing legislation, such as the Empowering Consumers for the Green Transition (EmpCo) Act, and through active enforcement by the Netherlands Authority for Consumers and Markets (ACM).

That calls for a sharp mind. But those who fully understand this development can use legislation to build trust, better serve customers, and strategically leverage sustainability. In this article, we explain what’s changing in the law, what this means in practical terms for businesses, and how you can use it — tailored to each customer profile — as a strategic advantage.

Table of contents

Sustainable communication in a new playing field

“Green,” “sustainable,” “climate-neutral” — for years, these were terms that companies could use with relative freedom. Often well-intentioned, sometimes exaggerated, and usually without solid evidence. This lack of accountability is now under pressure. In recent years, the ACM has taken visible action against companies such as Booking.com, Zalando, and Albert Heijn, which used sustainability claims without sufficiently clear or verifiable evidence.

Regulators recognize that greenwashing not only misleads consumers but also harms companies that do invest seriously in sustainability. This has led to stricter legislation and enforcement, such as the EmpCo. As a result, sustainability communication is now increasingly shifting from marketing-driven claims to data- and evidence-based substantiation.

For many organizations, this feels daunting.

At 2BHonest, we see that both this reluctance and making unsubstantiated claims carry risks: communicating too little leads to a loss of relevance, while communicating too much without substantiation increases legal consequences and reputational risks. It is precisely those organizations that carefully choose what they communicate and provide solid evidence to back it up that are able to distinguish themselves positively in this new landscape.

Developments in european Sustainability policy

The Green Claims Directive (GCD) was developed to combat greenwashing by requiring that environmental claims be supported by recognized scientific evidence. Examples include claims regarding CO₂ reduction, circularity, or environmentally friendly production.

At the moment, however, this matter is at a standstill. Since there has been no progress in the European legislative process for more than nine months, the European Parliament considers the directive to be blocked.

However, that does not mean that companies have more leeway to make non-binding sustainability claims. The core principles of the GCD are, in fact, already enforceable through other existing legislation and oversight. In practice, this involves establishing two specific frameworks:

1. Empowering Consumers for the Green Transition (EmpCo) This directive will take effect in the Netherlands on September 27, 2026, and sets clear requirements for sustainability communication directed at consumers.

2. Active enforcement by the ACM The ACM has been actively enforcing the Sustainability Claims Guidelines since 2023. These guidelines are used to hold companies accountable for misleading, unclear, or insufficiently substantiated claims.

The practical implication is clear: whoever makes a claim must be able to prove it. The legal and reputational risks associated with sustainability claims remain as relevant as ever — even without new EU legislation.

Empowering Consumers for the Green Transition (EmpCo)

The Empowering Consumers for the Green Transition (EmpCo) is a European directive designed to protect consumers from misleading sustainability claims and increase transparency regarding sustainable choices. It covers a large part of the Green Claims Directive. For businesses, this means that practices that were previously considered standard are no longer permitted.

When will the EmpCo take effect?

In practical terms, this means that every product on the shelf and every website accessible to EU consumers must be compliant as of September 2026 — regardless of where the company is located.

What does this mean in practical terms for sustainability claims?

Here is a summary of the most important requirements:

What does this mean in practice?

Even without new GCD legislation, the following remains true: sustainability claims without data pose a real risk.

For organizations, this means they need to invest now in:

Companies that organize this effectively do not view regulations as an obstacle, but rather as a filter: it separates empty claims from credible propositions — and thereby strengthens trust among customers, regulators, and supply chain partners.

Our vision: from risk to strategic opportunity

At 2BHonest, we’ve observed that companies that are currently investing in substantiated claims, precision, and focus are deriving the most value from this legislation. Three strategic principles are central to this approach:

1. Make choices: fewer claims, more evidence

Not everything has to be “sustainable.” For each product or service, decide where you can really make a difference and back that up with solid evidence. This boosts credibility and reduces risk.

2. Embed sustainability into business processes. Green claims affect not only the marketing department, but also:

Organizations that systematically integrate ESG into their processes, responsibilities, and justifications from the outset can avoid ad hoc solutions.

3. Align with your organization’s customer profiles. Not every customer responds to the same sustainability arguments. That is precisely why it is crucial to tailor your claims to the different customer profiles your organization serves:

Green claims legislation requires you to make these stories concise, factual, and tailored to your organization’s customer profiles, which enhances their commercial impact.

Conclusion

The Green Claims Directive may be on hold for now, but the playing field has already changed fundamentally. Companies that continue to rely on vague sustainability narratives are at risk. Companies that make conscious choices, back them up with solid evidence, and communicate effectively are building trust in the market.

Would you like to know:

Please contact one of our experts to learn more about Green Claims, the EmpCO, and the commercial implementation of ESG.