ASCI guidelines to ensure honest environmental claims in advertisements

‘First published on Lexology’

Indian consumers today are more informed and sensitive about environmental protection. To this effect they even go the extra mile to purchase environment friendly products which are more costlier than others. We have seen in the past few years that there has been a significant increase in demand for organic and environment friendly products. However, Indian consumers purchase products on the basis of the information displayed by companies on their products presuming that such declarations are true. But are they? In recent times we find various instances of greenwashing whereby companies adopt unfair practices to project that their products are environmentally sustainable, whereas in reality they are not. Such greenwashing practices are primarily adopted as a marketing tactic to attract consumers. Many companies from those in the automobile, FMCG, fashion industry have been found to be engaged in greenwashing practices.

The Advertising Standards Council of India (ASCI) has taken cognisance of these greenwashing claims by various corporates. It is currently working closely with the Department of Consumer Affairs in order to prevent greenwashing claims in advertisements. Greenwashing violates Chapter I of the ASCI Code on misleading advertisements. To prevent such breaches the ASCI has on January 18 2023 released guidelines to ensure honest environmental claims in advertisements.

The guidelines are effective from February 15, 2024.

Some of the salient aspects of the aforementioned guidelines are as under:

1. False Claims: Advertisements should make specific claims which are substantiated by factual data and/or well recognised and credible accreditations. Hence absolute claims like “environment friendly”, “eco-friendly”, “sustainable”, “planet friendly” that imply that the entire product advertised is environment friendly should not be made unless the same is backed by factual data and/or credible and well recognised accreditations.
2. Comparative claims: Advertisers making comparative claims such as “greener” or “friendlier” would need to produce evidence that the advertised product or service provides an environmental benefit over that of the advertiser’s last product or service or competitor’s product or services and the basis of such comparison should be made clear.
3. Product Life Cycle: Environmental claims should be on the basis of complete life cycle of the advertised product or service, unless the advertisement states otherwise, and must make clear the limits of the life cycle. In case a general environmental claim cannot be justified then advertisers should opt for a more limited claim about specific aspects of a product or service. Hence they should deter from making claims that are actually based on only part of an advertised product or service’s life cycle and mislead consumers about the product or service’s total environmental impact.
4. Specific Claims: An environmental claim should specify whether it refers to the product, the product’s packaging, a service, or just to a portion of the product, package, or service.
5. Complete Disclosure: Advertisers should make full and correct disclosures in their advertisements. Advertisements must not mislead consumers about the environmental benefit that a product or service offers by highlighting the absence of an environmentally damaging ingredient if that ingredient is not usually found in competing products or services. It would therefore be deceptive to claim that a product is “free-of” a substance if it is free of one substance but includes another that is known to pose a similar or higher environmental risk.
6. Certifications: In case advertisers use certifications or seals of approval to create the impression of an environmental claim to consumers, then the advertiser should make clear what attributes of the product or service have been evaluated by the certifier. The advertiser should ensure that the certifying agency is nationally/internationally accredited by a certifying authority for e.g. agency accredited by the UN council/committee, BIS etc.
7. Use of visual elements: An advertiser should not use visual elements in an advertisement which results in the advertisement conveying a false impression that the product is less harmful or more beneficial to the environment, when seen as a whole, unless required under law. For example, logos representing a recycling process on packaging and/or in advertising material can significantly influence a consumer’s impression of the environmental impact of a product or service. The ASCI has clarified that the visual elements shall not include the colour scheme related to nature or environment or images of natural ingredients or natural elements used on the products / packaging / services as a part of its creative brand identity or trademark/tradename unless such elements used are connected directly to any Environmental Claim made on such products / packaging / services to influence a consumer’s impression of the environmental impact of a product, packaging or service.
8. Futuristic Claims: Advertisers making claims on the products/ packaging/services about future environmental objectives should have clear and actionable plans detailing how those objectives will be achieved.
9. Carbon Offset Claims: As regards carbon offset claims where the offset does not occur within the next two years, advertisers should clearly and prominently disclose such facts. Advertisements should not claim directly or by implication that a carbon offset represents an emission reduction if the reduction, or the activity that caused the reduction, was required by law.
10. Biodegradable Claims: Advertisers claiming that their product is compostable, biodegradable, recyclable, non toxic, etc. should have competent and reliable scientific evidence to show that: a) the said product or the qualified component will break down within a reasonably short period of time after its customary disposal. b) the product is free environmentally hazard elements.

In a nutshell the ASCI guidelines require advertisers to make claims which are factually correct and backed by documentary evidence. It also requires advertisers to make full and correct disclosure of all the facts and deters them from making incomplete disclosures. These guidelines, if effectively implemented, will definitely help in promoting transparency and accountability in environmental claims made by advertisers and will help the general public to make informed choices.