Companies can no longer simply claim a product is 'green' or 'sustainable'
New Dutch legislation implementing an EU directive will strictly regulate corporate sustainability claims and labels to prevent consumer deception. Starting September 27, companies must ensure environmental claims are substantiated and independent, with the Netherlands Authority for Consumers and Markets empowered to issue significant fines for non-compliance.
New Dutch legislation implementing an EU directive will introduce stricter requirements for sustainability claims starting September 27. The Netherlands Authority for Consumers and Markets (ACM) aims to prevent misleading practices by banning vague terms like green or eco-friendly unless they meet rigorous standards, and by prohibiting non-independent corporate labels. Businesses are also mandated to provide clearer information regarding product durability, repairability, and the availability of spare parts.
To ensure fair competition, the ACM will oversee compliance and has the authority to issue public warnings, enforce orders subject to penalty payments, or impose fines of up to 900,000 euros or a percentage of annual turnover. While retailers are urged to update their labeling to avoid potential product recalls, authorities have established a lenient approach for those who proactively addressed these issues before the implementation date. Major companies like Douwe Egberts and de Bijenkorf have already begun adjusting their marketing language to comply with these enhanced transparency requirements.
Based on reporting by nu. Translated and condensed by LocalHeadlines.
